The American Wine Industry The American wine industry is a stable and present market in the United States with room to grow. The United States is the fourth largest wine producer in the world, averaging 465,400 gallons of wine a year. The top three countries are France, Italy, and Spain. The wine industry began with the first settlers and has persevered for centuries. Even though wine is produced virtually everywhere in the U.S. the wine producers in California have the largest economic impact of $30 billion.
COMPANY DESCRIPTION E. & J. Gallo Winery is the largest winemaker in the world, with production of nearly 900 million bottles per year. This family owned company produces one in every three bottles of wine made in the United States (Armstrong, Green & Strickland, 2010, p. 549). While best known for its inexpensive jug wines and such fortified varieties such as Thunderbird, in the 1980s and 1990s, Gallo has aggressively followed consumer preference into more expensive categories, notably cork-finished varietals, wines made wholly or predominantly from a single type of grape, such as Merlot (“E. & J. Gallo Winery – Company History”). The company markets its wines throughout the US and distributes to over 90 foreign countries.
Running head: Dollar General 1 Dollar General Columbia College RUNNING HEAD: Dollar General 2 Dollar General Dollar General is the leader when it comes to discount dollar stores with an annual profit of more than $12.73 billion a year. The major competition in the dollar discount stores for Dollar General in order are Family Dollar and the Dollar Tree. Another key player in discount stores is Walmart, although not a dollar discount store Walmart dominates all markets with $419.24 billion in revenue. 2011 brought on a year of expansion for Dollar General with plans to open up 650 new stores and remodel another 550 creating 6.000 new jobs in additional employees. Dollar General in owned by Koldberg Kravis Roberts & Co. L.P (KKR) who own more than 79% of all shares in Dollar General.
Wal-Mart operates more than 7,000 stores. (Wal-Mart Corporate Website) The corporate strategy of Wal-Mart is to sell everything people need at low price. As founder Sam Watson said, goal of Wal-Mart is to save people money so that they can live better. This is the focus that underlies everything Wal-Mart does. (Wal-Mart Corporate Website) Huge turnover, large customer base and returning customers show that Wal-Mart has been able to achieve this goal in its 50 years of existence.
Today, the company has a portfolio of 22 billion-dollar brands and a market capitalization of nearly $200 billion ( P& G, 2006). P& G (2014) estimates that of the more than seven billion people on the planet, that they serve approximately 4.8 billion of them . Procter & Gamble attributes its success and distinction as one of the ten most valuable companies in the world to their unwritten company policy that the consumer is their boss and by fulfilling its purpose: touching lives and improving life
Today, Absolut is the number one selling imported vodka in Canada, the USA, Finland and other counties Today it’s the Third largest spirit brand behind Barcardi & Smirnoff, its sold in 126 countries. Worldwide sales in 2010 are 99m litters. Now, Absolut is owned by French group Pernod Ricard; they bought Absolut for €5.63 billion in 2008 from the Swedish state. Customers At the present moment, Absolut vodka is produced for import more than for domestic use. Most of all, it is consumed in USA, Canada
It is the third-largest retailer in the world measured by revenues (after Wal-Mart and Carrefour) and the second-largest measured by profits (after Wal-Mart). It has stores in 14 countries across Asia, Europe and North America and is the grocery market leader in the UK (where it has a market share of around 30%), Malaysia, the Republic of Ireland and Thailand. The company was founded by Jack Cohen in 1919 and opened its first store in 1929 in Burnt Oak, Edgware, and Middlesex. The TESCO name first appeared after Cohen purchased a shipment of tea from T.E. Stockwell and combined those initials with the first two letters of his surname.
Huge initial investment: The high cost of setting up manufacturing plants, transportation channel and distribution channel is a big barrier for new entrants. Coca-Cola has huge market share Economies of scale: Coca-cola enjoy large economies of scale that help in keeping the costs down. A new entrant would not be able to match the cost . The threat of new entrants is considered low in the automobile industry. The industry has been in operation for a relatively long period of time and in several companies, such as Volkswagen and Ford have successfully reached economies of scale.
During the company’s history from 1987-2006 they experienced above industry growth compared with most of their competitors. However, 2006 was the beginning of troubling times for FoldRite Furniture Company. (Wheelwright and Bellisario, 2012) It was discovered by management that high turnover rates in the manufacturing department lead to slower production and delivery times. These mistakes opened the door for competitors to take business away from the company. In any industry reliability and consistency are key factors to attracting and maintaining repeat customers.