Quality Cues on The Wine Label Part 1

Question 1

Old World Bottle Label Components (5)

Answer 1

• Château picture
• Appellation
• Producer
• Vintage (Region)
• Year of harvest

Question 2

New World Bottle Label Components (4)

Answer 2

• Brand is signature
• vintage/region
• grape variety
• Sugar/alcohol %

Question 2

Old World Countries

Answer 2

European and Middle Eastern

Question 3

1. New World Countries (6)
2. How did it expand (2)

Answer 3

1. Argentina, Australia, Chile,
   New Zealand, South Africa, and USA
2. Expansion of European empire and religion

Question 4

Old World
1, Wine Marketing
2. Temperatures

Answer 4

1. Collective branding, indices
2. 10 to 20 degrees celsius

Question 5

New World Wine Marketing

Answer 5

Individual private brands

Question 6

Old World Market Focuses (4)

Answer 6

Terroir Region
Strict Quality Levels
Food Pairings
Collective Branding

Question 7

New World Focuses (4)

Answer 7

Broader Region
Less rules and regulations
Grape varieties
Individual Brands

Question 8

1. Top 3 wine produces
2. Main Factor for wine production
3. Top Importer

Answer 8

1. Italy, France, Spain
2. Weather and Climate
3. China

Question 9

How are wines differentiated (8)

Answer 9

1. Vintage
2. Grape
3. Region Origin
4. Winery
5. Winemaker
6. Certifications
7. Weather, Soil
8. Awards

Question 10

Product Differentiation

Answer 10

Distinguishing a p/s from other products and competitors to make it more attractive to target market.

Question 11

Vertical Differentiation

Answer 11

Several goods can be ordered from highest to lowest based on quality

Question 12

Horizontal differentation

Answer 12

goods are different but at the same price. Consumer buys based on their preferences

Question 13

European System for wine quality and value
1. Most restrictions = ?
2. Least Restrictions = ?

Answer 13

1. highest value
2. lowest value

Question 14

Appellation Order

Answer 14

GCC -> AOC -> VDP -> VDT

Question 15

What is on the front label of a wine bottle?

Answer 15

brand, winemaker, wine estate, vintage, appellation, logo/image, certification, organic or not

Question 16

What is the purpose of the front label of a wine bottle?

Answer 16

Details about the wine, marketing purposes

Question 17

What is on the back label of a wine bottle?

Answer 17

grape variety, history, tasting comments, food pairing, health info

Question 18

What is the purpose of the back label of a wine bottle?

Answer 18

informing consumer of what they are drinking

Question 19

Additional Information on a wine bottle label

Answer 19

sticker or award

Question 20

Drinking quality is ______ to the consumer until after ______ and ________

Answer 20

1. Unknown
2. Purchase
3. Consumption

Question 21

Search Good

Answer 21

p/s with features and characteristics easily
evaluated before purchase

Question 22

Search Good is subject to (2)

Answer 22

Substitution and price

Question 23

Experience Good

Answer 23

p/s where characteristics like quality or price are difficult to observe in advance, but verified upon consumption

Question 24

What has lower price elasticity (Experience or Search) and why?

Answer 24

Experience as price with quality cannot easily be determined beforehand Consumers fear that lower prices = problems or quality issues.

Question 25

Credence Goods and example

Answer 25

Difficult or impossible to evaluate even after use of p/s. Ex Accountant, Lawyer, Medical Diagnistic

Question 26

Credence Goods. 1. how does this problem occur (2)

Answer 26

1. Consumer lacks knowledge to make a realistic evaluation 2. Cost of information-acquisition may outweigh the value of information available

Question 27

Wine Experience 3 Dimension

Answer 27

1. Context Dependent 2. Knowledge Dependent 3. Subjective

Question 28

Wine Experience - Context Dependent (3)

Answer 28

1. Where 2. With Whom 3. When

Question 29

Wine Experience - Knowledge Dependent (3)

Answer 29

1. Learn by consumption 2. pre-conceived ideas 3. cultural goods

Question 30

Wine Experience - Subjective (3)

Answer 30

1. Common rules 2. Different Tastes 3. Different Abilities

Question 31

If quality is unknown before purchase, if experience with wine remains subjective...what are the 4 risks with wine pruchasing

Answer 31

1. Financial 2. Functional 3. Physical 4. Social

Question 32

Wine Fraud

Answer 32

Selling wine under the label of a private brand

Question 33

Wine Adulteration and examples

Answer 33

Adding unnatural ingredients to wine-making process like resin, honey, herbs, lead compounds

Question 34

Mechanisms - Private Quality Sector

Answer 34

medals, awards, ratings, sustainable certifications

Question 35

Mechanisms - Public Quality Sector

Answer 35

regulations and banning additives