Closure wars: The impact of wine closure alternatives on Portuguese cork exporters
Date
2017
Authors
McIver, Natalie
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Publisher
Bachelor of Commerce Best Business Research Papers
Abstract
Portugal is one of the few countries whose environment can support the cork oak. Cork is a versatile, durable and 100% renewable material. Cork is used in many applications; however, internationally, it is most commonly used to produce wine stoppers. Portuguese cork companies are starting to see increased competition in the wine stopper market as new alternatives such as synthetic corks and screw tops are gradually being accepted by wine producers and end consumers. The technical capabilities of all of the closure methods are relatively equal but in general, natural corks are still perceived to be the highest quality closure. Unfortunately for cork producers, this perception is not always reflected in consumer buying decisions. Amorim is an example of a Portuguese cork company that has had to adapt to the growing competition in the wine stopper market. The company has invested heavily in R&D and product development and is pushing the sustainable aspect of the material in order to stay competitive. Amorim is also diversifying its international portfolio in order to mitigate business risks. This paper uses Amorim to illustrate that adaptation and innovation are critical for business success in the face of political and competitive uncertainty.
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Citation
McIver, N. (2017). Closure wars: The impact of wine closure alternatives on Portuguese cork exporters. Bachelor of Commerce Best Business Research Papers, 10, 73–85.