Catching up Trajectories in the Wine Sector: A Comparative Study of Chile, Italy, and South Africa

Abstract

From a development perspective an investigation of the changes that have occurred in the wine industry is of particular interest because it provides evidence on how emerging economies have been able to acquire significant shares of the international market in a dynamic sector. Based on novel empirical evidence as well as secondary sources, this paper shows that emerging countries with diverse institutional models and innovation strategies, have been driving the process of technological modernization and product standardization. Newcomers in the wine sector have responded particularly effectively to changes in consumption habits, and in aligning emerging scientific approaches with institutional building efforts and successful marketing strategies.

Global Value Chains Meet Innovation Systems: Are There Learning Opportunities for Developing Countries?

“…The most obvious is software in Bangalore, but there are interesting cases in very different sectors, such as the wine industry in Chile. Cusmano, Morrison and Rabellotti (2010) note that one of the main competitive factors in Chilean wine production, which has a well-integrated international GVC, is the strong links with university research. These links have allowed quality upgrade and up scaling in the global wine market.…”

Global Investments and Regional Development Trajectories: The Missing Links

“…Conversely, the influence of region-specific advantages on the growth and evolution of the 'hosted' MNEs as well as of the 'sending' regions has remained underexplored. An emerging body of literature indicates that while domestic outsourcing of value-added services such as R&D and design is relatively less diffused than that of production, the externalization of such innovation-intensive functions is more likely to span internationally, suggesting that firms' concerns about local competition are compensated by new streams of knowledge sourced in more distant regional systems (e.g., Cusmano, Morrison, & Rabellotti, 2010;Malecki, 2010). The impressive surge of both inward and outward FDI to and from developing and emerging locations -until recently characterized by very low or even null connectivity (UNCTAD, 2015) -supports the idea that economic development requires increasing and simultaneous two-way connectivity.…”

“…In fact, vertical disintegration through outsourcing and offshoring may indeed threaten the thickness of localized networks and relational density, strengthening the asymmetric effects of openness across space (e.g., Cusmano et al, 2010).…”

Managing export success – An empirical picture of German wineries’ performance

“…The scientific consideration of cluster approaches as success factors for the regional added value is another focus [22][23][24]. Frequently, the export success of emerging nations in the scope of wine industry is taken as an illustration for the fact that economic development handicaps can, indeed, be eliminated [25]. Indeed, concerted cooperation between companies and institutions has been recognized as decisive for success.…”