Economics

What Makes Clusters Competitive?: Cases from the Global Wine Industry

What Makes Clusters Competitive?: Cases from the Global Wine Industry

Anil Hira

Language: English

Pages: 280

ISBN: 0773542604

Format: PDF / Kindle (mobi) / ePub


While global competitiveness is increasingly invoked as necessary for economic success stories, there are few answers available about how it can be achieved or maintained. The idea of stimulating industries to spur on economies is often proposed, but industrial policy can be seen as a boondoggle of government spending, and theorists of globalization are doubtful that such efforts can succeed in a world of fragmented supply chains. What Makes Clusters Competitive? tests fundamental theoretical hypotheses about what makes industries competitive in a globalized world by using the wine industries of several countries as case studies: Extremadura (Spain), Tuscany (Italy), South Australia, Chile, and British Columbia (Canada), Taking into account historical and location-specific characteristics, and drawing out policy lessons for other regions that would like to promote their industries, this volume demonstrates the value of applying cluster theory to understand market forces, while also describing the forces underlying the development of the wine industry in a range of different settings. An excellent resource for those interested in what makes industries succeed or struggle, What Makes Clusters Competitive? offers guidance for policymakers and the private sector on how to promote local industries. Contributors include David Aylward, Alexis Bwenge, Sara Daniele, F.J. Mesías Díaz, Christian Felzenstein, Husam Gabreldar, F. Pulido García, Sarah Giest, Elisa Giuliani, Andy Hira, Mike Howlett, A.F. Pulido Moreno, and Oriana Perrone.

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stems from “actors’ adherence to rules of action and, in certain contexts, from their sharing of the system representation that serves to orient collective behavior” (Gilly and Perrat 2006, 160). Beyond this, co-operation at the meso level is based on a common understanding of organisational and structural aspects for collective behaviour to work. This implies that market and social factors are taken into account, ultimately and ideally leading up to a collective learning modus. These vertical

leucconostoc mesenteroides (Vine 1981, 270, 273 and Weaver 1976, 251–90). Wine yeasts are unicellular organisms belonging to the kingdom Fungi. They are mobilized by natural forces in water and wine and are carried by the air to different sites to bloom. Different strains of yeast have different effects on wine. The strain of the genus saccharomyces cerevisiae is used for wine fermentation. The genus dekkera, candida, kloeckera, and pichia, among others are called wild or apiculate yeasts, and

McDermott (2007b, 90) notes about the rapid improvement in Argentine wines’ quality and export production: This (Argentine) shift demanded new capabilities in coordinating multiple, continuous process and product experiments across a variety of organizations and microclimates. Increased wine value begins not simply with the adoption of new hard technology and fertilizers or with market and distribution but namely with trans- Development of the Global Wine Industry 77 forming the middle and

British Columbia Wine Country. North Vancouver: Whitecap. – 2000. “History of the British Columbia Wine Industry.” In bc Wine Country: The Book, 8–9. Kelowna: Blue Moose Publications. The Select Standing Committee on Agriculture, bc Legislature. 1978. The Grape and Wine Industries of British Columbia: A Commodity Report. Aug. Phase III Research Report. Victoria: bc Govt. Todd, Robert. 2009. “Labelling Wars Heat Up.” Oct. 19. www.lawtimes news.com. Van Vuuren, Hennie. 2011. Personal interview with

innovation and, in accordance with business specifications, precise subsidising actions that could benefit many wineries, not just one. This would also help to consolidate this cluster of wineries that increasingly appears as fundamental for the persistence and improvement of the sector’s profitability. There is a near absence of foreign investment in the wineries, which is explained by the regional nature and small size of Extremaduran wineries, at least when compared to large industrial groups

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