Market Strategy Analysis on Montgras

Good Essays
Hung-Chang Huang
1467751
Case Questions: MontGras
1. (a) To what extent can MontGras control its own market position, as opposed to being dominated by the country-of-origin effect, and be perceived as a “Chilean Wine”?
MontGras, the export-focused winery that was founded in 1992, unlike many other Chilean wineries, actually possessed a considerable control on its own market position in the late 1990s and early 2000s. Although the overall consumer perception towards Chilean wine products indicated that they need to put more efforts to build a solid image globally and that their major advantage is the low price, the situation might not necessarily hurt MontGras’ current market position if and only if the management the link between the decision to adopt the quality strategy, rather than volume strategy, and the fact that Chilean wine lacked a proper image. By pursuing quality-oriented strategy, MontGras is able to further cultivate its brand awareness as a result of the success of the ultra-premiums(Ninquen line) and the super-premiums(Reserva line), and to eliminate the inefficient cost spent on the joint effort with Chilevid aimed at building a stronger image for the entire Chilean wine industry. Consequently, the problem of country-of-origin effect was, in fact, not significant enough that hampered MontGras’ marketing position as long as the company is fully understand what the appropriate marketing strategy is and adopt it with regard to different market ecologies of MontGras’ export destinations.
(b) What implications does this have for marketing strategy?
With the worldwide overproduction of vintages, competitions of wines in all segments were predicted more intense, especially in the basic segment, which traditionally accounted for nearly half of the market share of many countries, and 55% of MontGras’ total product in 2001. This indicates that already saturated basic segment, with the smallest gross profit margin for all the players within the segment,

You May Also Find These Documents Helpful

  • Good Essays

    Montgras strategy

    • 899 Words
    • 3 Pages

    A Wine of Chile 1. A. Marketing strategy * MontGras became a successful story only through their marketing strategy. It took a determined path of exporting to the top rated wine importers in the world. * Through heavily exporting to U.K and U.S, MontGras segmented and exposed to some of the top wine consumers in the world * MontGras has been exporting 50% of their wines to U.K, which is strategically a worth move according to the rate of Chilean wines that are being exported to different countries…

    • 899 Words
    • 3 Pages
    Good Essays
  • Satisfactory Essays

    Market Strategy Analysis

    • 467 Words
    • 2 Pages

    Emotiv Systems, Inc. Case Assignment VikramAdith Raman [61310387] The ideal marketing strategy would have the following mix: Product | * The Wii has the highest market share (42.1%), but the XBox 360 is very close behind (41.1%), while the PS3 is a long way behind (13.9%). The XBox 360 has more hardcore gamers than the other consoles. Therefore, given its market share and suitable user base, the EPOC product should have a co-branding arrangement with Microsoft and develop the required software…

    • 467 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    Market Strategy

    • 1019 Words
    • 5 Pages

    Lecture 1: Microeconomics and Biz Strategy References: Pindyck&Rubinfeld. Chap.1 What are the firm’s important functions and strategies ? 1. Selling need to know consumers purchasing behavior for example, what if the price increases: price elasticity of demand marketing/product positioning strategies Topics 3-5 lectures 2. Production Supply function/producers output decision how to produce? Firms output decision: Short run vs LR For example, should the firm continue producing…

    • 1019 Words
    • 5 Pages
    Powerful Essays
  • Good Essays

    market strategy

    • 978 Words
    • 3 Pages

    Market entry strategies are very important for every company. The fullers beer company has selected the target market, so it will choose a kind of entry mode into foreign market. Our company will choose the intermediate modes to enter the Brazils market. Contract manufacturing Fullers beer company can engage the local manufacturers to produce their products. Local manufacturer know about the Brazils beer culture, but also know the local laws. This is good for the fullers company enters foreign markets…

    • 978 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    market strategy

    • 1927 Words
    • 8 Pages

    already occurred. This type of research explains the relationship between the independent constrants. QN2) Explain the various types of Consumer and Business to Business (B2B) market research. Consumer research focus on consumer attitudes , their behavior and their preferences in a market based economy. Types of consumer market research: i)Advertising andpromotion research: To gauge customer responses to the promotional measures undertaken by the company as well as the effectiveness of each measure…

    • 1927 Words
    • 8 Pages
    Powerful Essays
  • Satisfactory Essays

    Market strategy

    • 535 Words
    • 2 Pages

    Mitchell Burgin Jake GilstrofCory Fox Bryan McCullough Pizza Hut Creative Brief The client, Pizza Hut is trying to increase their profitability and awareness by customers in the online pizza ordering segment of the pizza industry. The online pizza ordering industry causes customers to spend more and it is an easier and faster way of ordering placement. Currently, Pizza Hut does not have an ideal number of online consumers and needs to produce an online ordering advertisement campaign to change…

    • 535 Words
    • 2 Pages
    Satisfactory Essays
  • Better Essays

    Analysis of Market Structures and Pricing Strategies The markets today are so complex and deal with so many variables it can be difficult to understand just exactly how they operate. In the following I will reveal the different kinds of market structures along with their different pricing strategies. Relating to these topics, I will focus on the importance of cost, competition and customer. 1. Analysis of different market Structures Different…

    • 1111 Words
    • 5 Pages
    Better Essays
  • Good Essays

    I will be answering the following question in my extended essay “to what extent can blackberry’s market development strategy work to rescue the company?” This document focuses on one of the most important objectives of a business, which is survival, and investigates the strategy used in order to achieve it. Survival as this document will demonstrate is a key priority, not only to new organizations, but also to more established organizations such as Blackberry limited. Once a business ensures its…

    • 909 Words
    • 4 Pages
    Good Essays
  • Good Essays

    Porter-s-five-forces-analysis Today, the company is known for its innovation and research. However, the HTCbrand still has a weak image compared to its competitors like Apple, Blackberry, Nokia, Samsung and Sony. HTC is now focusing on developing its brand image to grow its market share. This report reviews the current marketing strategy for HTC Android phones. It analyses the marketing mix forth and reviews the areas of weaknesses and opportunities to build upon. Finally, the report provides…

    • 3433 Words
    • 14 Pages
    Good Essays
  • Satisfactory Essays

    Market Entry Strategy

    • 428 Words
    • 2 Pages

    Market Entry Strategy Limited Brands, parent company to Bath and Body, currently employs an integrated marketing plan for its distribution of the Bath and Body product line (L Brand International Strategy 2014, Para 1). This strategy could be combined with the prospect of a joint venture for a successful expansion into the United Kingdom market. Integrated marketing channels can be challenging to manage but they are the most effective way to connect marketing and customer service, providing…

    • 428 Words
    • 2 Pages
    Satisfactory Essays