International Marketing

International Marketing Management (BSc 14)

Pre-Course Assignment

W.M.D.J. Kasunka Wijerathne

Student ID: 10296361

“I declare that all materials included in this assignment is the end result of my own work and that due acknowledgement have been given in the bibliography and references to ALL sources be they printed, electronic or personal. “

Signed:

Date: 01/09/2011

BSc. In Business Management

University College Dublin, Ireland

Case Study 10: The Big Four Australian Wine Companies

Mildara Blass, Southcorp, BRL Hardy and Orlando Wyndham being the dominant wine exporters in Australia have been identifying and implementing strategies to develop global wine brands and to compete successfully in foreign markets such as UK, USA, New Zealand and Germany.

Similarities of internationalisation strategies among the four companies:

1. Joint Venture: Beringer Blass, Southcorp and BRL hardy all three companies launched joint ventures with local and foreign partners in order to strengthen their distribution networks, gain economies of scale, and take advantage of facilities and technologies of partnering companies.

Ex. Beringer Blass – with Chilean wine producer, Vina Sanata Carolina

BRL Hardy – with US company Constellation Brands

2. Acquisitions: All four big companies (especially Orlando Wyndham) had confident in acquiring foreign and local companies to develop their capabilities and competitive position to enter into foreign markets and to face stiff competition.

Ex. BRL Hardy - Domaine de la Baume, Languedoc-Roussilon region of France,

Orlando Wyndham – Seagrams

Differences in Internationalisation strategies among the four companies:

1. Beringer Blass: Make use of joint ventures in order to strengthen the distribution and operations. Being a premium wine producer Beringer Blass followed a high pricing system which later made it a disadvantage to compete with other rivals.

2. Southcorp: Buy new lands to develop...