The formation of country wineries networks for internationalization: an analysis of two new world wines regions

Abstract

The objective of this study is to understand the characteristics of winemakers' networks and their effect on the internationalization process of the wine industry. Case studies in two emerging wine export countries were developed and analyzed. The Brazilian network, Integrated Sector Project Wines from Brazil, and the Uruguayan network, Wines of Uruguay, were both analyzed. The purpose of these networks is to promote those countries' wineries in international markets and to develop a common organizational structure shared by all the network members; however, local influences, such as market size and antecedent characteristics, result in different network roles. In each case, the network acts as an aggregate in the internationalization process of affiliate companies and assists in establishing the image of each country as a wine producer. The formation of a winemakers' network has a positive effect on the internationalization of the winemaking industry. Moreover, public policies to support internationalization demonstrate to improve the international competitiveness of wine companies. This study improves the understanding of the benefits winemakers' networks provide New World wines and the impact those networks have on the internationalization process. The results provide insights for advancing winemakers' internationalization strategy and the industrial policies affecting wine.

Keywords:

• internationalization
• network
• wine
• Brazil
• Uruguay

Acknowledgements

The author gratefully acknowledges the financial support of the National Council for Scientific and Technological Development (CNPq – Brazil) and CAPES – Brazil. My sincere thanks to Professor Jane Carr, two anonymous reviewers and Pietro Cunha Dolci for their helpful comments.