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Market Opportunity Recognition in the Chilean Wine industry: Traditional versus Relational Marketing approaches

J. Internacional: Market Opportunity Recognition in the Chilean Wine industry: Traditional versus Relational Marketing approaches

JUAN PABLO TORRES C.

2016 - Journal of Wine Research - Vol. 27, Issue 1, 2016

Abstract

The aim of this paper is to examine how wine firms implement their marketing strategies based on the recognition of market opportunities by their Chief Executive Officers (CEOs). Firstly, we describe the marketing activities in 69 traditional Chilean wine firms. Then, in-depth interviews with CEOs of two wineries are analysed using cognitive maps to uncover the cognitive processes responsible for recognizing and executing market activities. Our findings indicate that there is a similar set of strategic resources across the wineries, but the CEOs' different perceptions of the usefulness of these resources in the implementation of marketing strategies has led them to select diverse strategies to increasing both the price per bottle and wine sales. This paper makes two contributions. Firstly, we compare the benefit of implementing traditional and relational marketing strategies in the Chilean wine industry. Secondly, we show that the CEOs’ perception of feedback processes among the available resources affects the recognition of market opportunities and the marketing strategy in wine firms.

Keywords

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