The Future of Italian Wine is in Good Hands

awardDeborah Gelisi wiped the tears from her face, took a deep breath, and continued with her presentation on the importance of sustainability for Italian wine producers. It wasn’t an easy thing to do.

Deborah’s audience was in tears, too. Her classmates and teachers at the Scuola Enologica di Conegliano.  Her winegrower parents.  Even her 12-year old brother, the fearless goalkeeper of his youth soccer team. Over at the head table the city’s  mayor was misty, the school’s director was teary, Rai Uno journalist Camilla Nata was a little choked up, and I was a pretty emotional myself. There wasn’t a dry eye in the house.

Stories about rooms full tearful people don’t usually feature on The Wine Economist, so you probably have some questions about what was going on and how this relates to this column’s optimistic title. I’ll try to answer the questions one by one.

Who is Deborah Gelisi?

Deborah Gelisi is an 18 year old student at the Conegliano Wine School, which is Italy’s oldest enology and viticulture school and, according to our friend Paul Wagner, probably the largest wine school in the world. Founded by Antonio Carpenè in 1876, it provides education and training for young students who have chosen to work in the wine industry. The school has a long list of distinguished alumni including notable Romeo Bragato, who was instrumental in the development of wine industries in Australia and New Zealand in the 19th Century.

Deborah comes from a wine-growing family. She gets up early each day to work at Podere Gelisi Antonio, then takes the train from Pordenone to Conegliano for classes, reversing the commute in the afternoon for more work and, of course, study. I don’t know when she sleeps.

Why Was Everyone Crying? Bad news?

Deborah was being honored as the first recipient of the “Etilia Carpenè Larivera International Scholarship,“ which will provide her  with the opportunity to expand and deepen her wine knowledge through international travel  and study and jump-start her career in wine.efx-s

The scholarship was inaugurated this year to mark the 150th anniversary of the founding of Carpenè Malvolti, one of Italy’s most distinguished wine producers. Its founder, Antonio Carpenè was the inventor of the process of secondary fermentation in autoclaves that gives us Prosecco.

Carpenè Malvolti honors its past in many ways, which you will discover if you spend some time at the new visitor center in Conegliano, but as a family wine business it is all about building for future generations. That’s why the photo above shows Deborah with Rosann Carpenè Larivera, the fifth generation of the famous family, along with her daughter Etilla, the rising sixth generation, for whom the scholarship is named.

What’s the Significance of the Award?

It is good to honor students and to provide valuable educational opportunities, of course, but it is important to see this award in broader context. Deborah’s award was part of a project called Generazione DOCG, which aims to invest in the future of the region through its  young people. Everyone was crying (and then celebrating) because this isn’t an ending but a beginning, both for Deborah and for the region.

The next generation of Italian wine producers will face many challenges, as we discussed at the VinoVIP meetings in Forte dei Marmi in June. The industry is fragmented, lacking the strong brands that could build help open markets and build margins. It won’t be easy to make progress given intense competition everywhere.

But there is real hope. Rising wine professionals like Deborah Gelisi and her student colleagues can make a difference in the vineyards, cellars, and markets. If Deborah is an indication, they have the knowledge, drive, determination, and entrepreneurial spirit that will be  needed.

And they have the backing of their families, communities, and forward-looking wine firms such as Carpenè Malvolti. With this team supporting and encouraging them, it is easy to see that the future of Italian wine is in good hands.

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Congratulations to Deborah Gelisi. Special thanks to Carpenè Malvolti for inviting me to speak at this awards ceremony. It was an honor and a pleasure.

 

Wine Business 101: Exploring America’s Largest Wine Industry Trade Show

unifiedContributing editor Sue Veseth is fascinated by wine industry trade shows. She recently attended the Unified Wine & Grape Symposium trade show in Sacramento, California. Here is her report.

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Making wine is not very stuff-intensive, right? Some grapes, a vessel for fermentation, maybe a couple of barrels, some bottles or jugs, closures — voilà!

But modern winemaking, even for small wineries and those making natural wines, can be very stuff-intensive. A good place to start looking at or shopping for all of the stuff for winemaking is the trade show at the Unified Wine & Grape Symposium in Sacramento, California. This is the largest trade show in North America for the wine and grape industry, attracting more than 600 vendors from around the world and more than 14,000 visitors. A lot of people in the industry use the trade show to connect with friends, colleagues, suppliers, and peers in the industry, in addition to shopping.

Some trade shows are focused on particular aspects of the industry. The SIMEI show we attended in Milan, Italy, in 2015, was all about machinery and technology. Smaller regional trade shows may combine winemaking and other agriculture industries. The January 2018 VinCO trade show in Grand Junction, Colorado, was about winemaking and fruit-based agriculture.

Soup-to-Nuts

In contrast, the Unified is a soup-to-nuts trade show: tractors, plants, fertilizers, trellises, bottling lines, hoses and fittings, flooring, waste and wastewater management, vessels and containers of all types and sizes, construction services, irrigation systems, cleaning equipment, chemicals, testing services, software to manage just about everything, bottles, closures, labels, packaging, marketing materials, financial services, transportation, industry publications — and the list goes on. Some vendors have been in the show for years; a few new vendors show up every year. Some vendors may wait several years before scoring a spot.

It seemed to me that the people staffing the booths this year were spending more time talking to customers and passers-by than staring at their cell phones — hooray! Conversely, fewer exhibitors this year insisted on scanning my visitor badge, probably easily realizing that I was looking not buying.

One vendor in particular especially impressed me. This vendor had a dozen staff members, including high-level executives, in a standard-sized, attractive-but-not-flashy booth. But few were actually in the booth. They were always working the floor, with both intense and casual conversations with customers and potential customers. You could tell that this vendor was focused on business.

The raptors are always one of the most popular exhibits. The falcons are used for pest control. It is easy to anthropomorphize and conclude that the birds’ beady stares may be sizing us up — perhaps as lunch?

I also enjoyed looking at the pruning equipment and vineyard supplies that could be useful to the home gardener.

Vegan Fertilizer?

So, is there anything new? Yes, to me anyway. Especially intriguing were two French vendors with vegan products and processes for winemaking. One was showing vegan fertilizer. I had hoped to bring home a sample to try, but the smell was very strong, very fertilizer-y, even packed in multiple layers of plastic zip bags. Alas, it did not make it into the suitcase. Another company offers a range of products for vegan winemaking.

I was not aware of vegan winemaking, but it turns out that many wines I know and enjoy are vegan, at least based on the Barnivore list (http://www.barnivore.com/), although they are not necessarily promoted as vegan. Another “who knew?” moment.

Costs and Benefits

The question always arises: Is it worth it? There were moments when the trade show was jammed (after the State of the Industry presentations, during lunch, and during the regional wine tasting, for example) and other times when the aisles were open and easy to navigate (such as the afternoon of the second and final day of the show). The busy times seemed as busy as in past years but the slow times seemed slower to me this year.

Participating in the show is not inexpensive, for both the vendors and those attending. A lot of people were looking, but how many were buying? Does the activity level reflect expectations about expansions, contractions, or no change at individual wineries and the industry in general? Is it an opportunity to see and be seen?

The answers probably depend on who you are, what you are selling, and what you are buying. But if you want to understand the scope of the wine industry, the Unified Wine & Grape Symposium trade show is a good place to start.

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New York Times wine critic Eric Asimov attend the Unified trade show for the first time in 2017. You might be interested in his reflections on the experience. Spoiler alert — he was also fascinated by falcon pest control.

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Many thanks to everyone who works to make the Unified Symposium and its trade show a success. Special thanks to John Aguirre and Jenny Devine and to photographer Ken Freeze for providing the image above.

 

Wine Economist World Tour 2018 Update

wtHappy New Year to all. The Wine Economist World Tour is back on the road in 2018. I’m looking forward to speaking at regional wine industry meetings in Washington, Idaho, and Colorado, plus the big national meeting in Sacramento.

Here are World Tour stops for January and February 2018.

January 2018

  • The World Tour comes to Grand Junction, Colorado where I will be speaking at the VinCO Conference & Trade Show January 15-18. I’ll be giving three talks: “Secrets of the World’s Most Respected Wine Regions,” “The Future of Small Wineries,” and “Around the World in Eighty Wines.” Looking forward to meeting everyone and learning more about the Colorado wine industry.
  • Unified Wine & Grape Symposium. January  23-25, 2018 , Sacramento California. I will be moderating and speaking at the “State of the Industry” session on January 24. It looks like this year’s discussion will be especially interesting and informative. I hope you can attend.

February 2018

  • Washington Winegrowers convention and trade show February 6-8, 2018 in Kennewick, Washington. I will be speaking at the “State of the Industry” session on the morning of February 7.
  • The Idaho Wine Commission’s annual meeting will be on February 13-15 in Boise.  I will be speaking about global trends and local impacts on the morning of February 14.
  • Local meets global: I’ll talk about “Around the World in Eighty Wines” from the vineyard point of view at a special evening meeting of the Tacoma Garden Club  on February 21, 2018.

Hope to see you at one of these events or somewhere else down the wine road in 2018.

What’s Ahead for the Wine Economy? 2017 Unified Wine & Grape Symposium

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Sue and I are looking forward to the 2017 Unified Wine & Grape Symposium, which is set for January 24-27, 2017 in Sacramento, California. The Unified Symposium is the largest wine industry gathering in North America, drawing as many as 14,000 people for the sessions, trade show, and gatherings.

This year’s conference features a number of interesting sessions, some of which are presented in both English and Spanish. I will paste the program below for your inspection. Three sessions particularly caught my eye this year.

And Now For Something Completely Different200x200

Eric Asimov, the New York Times‘ wine critic, will give the luncheon address on Tuesday January 24. I am thinking that Asimov’s talk will be a bit different from the 2016 lunch speaker — Fred Franzia!

Fred didn’t pull many punches in challenging his audience and gave us a lot to think about. I expect Asimov’s take to be completely  different, but equally challenging.

Stephen Rannekleiv of Rabobank and Damien Wilson of Sonoma State University will present an analysis of “The Global Market for Wine” on Wednesday afternoon and I will certainly be in the audience. What a big topic! I’m looking forward to seeing what particular trends they pick out and how they see the wine economy developing given all the economic and political changes going on.

State of the Industry

The “State of the Industry” session will go live at 8:30 on Wednesday morning and I will be back as both moderator and speaker. The program is always interesting and draws a huge standing-room-only crowd as the photo above shows.

Joining me this year are three terrific speakers: Nat DiBuduo of Allied Grape Growers,
Danny Brager from The Nielsen Company and Glenn Proctor of Ciatti Company. I’ll be interested to hear what Nat, Danny and Glenn have to say about the wine industry in 2016 and what’s ahead for 2017 and beyond. They really know their stuff — should be a terrific session. Hope to see you at the Unified. Cheers!

Unified Wine & Grape Symposium Program

Tuesday January 24

7:30 am – 6:30 pm Registration

11:30 am – 1:30 pm Keynote Speaker Luncheon
Eric Asimov, New York Times, New York
Separate Registration Fee Required

2:00 pm – 4:00 pm Sauvignon blanc: Vine to Bottle (includes tasting)
Joint Grapegrowing & Winemaking Breakout Session

2:00 pm – 4:00 pm Focus, Focus, Focus: Listen to Learn
Marketing/Public Relations Breakout Session

2:00 pm – 4:00 pm Finding Value in Sustainability
Business/Operations Breakout Session

4:30 pm – 6:30 pm Welcome Reception

Wednesday January 25

7:30 am – 5:30 pm Registration

8:30 am – 11:00 am State of the Industry
General Session

9:00 am – 6:00 pm Exhibits Open

1:00 pm – 2:15 pm Not Your Ordinary Yeast: Using Innovated Strains and Fermentation Techniques to Increase Wine Quality and Drive Wine Styles
Winemaking Breakout Session

1:30 pm – 3:30 pm Looking Forward: How Grapevine Clean Plant Strategies Can be Improved
Grapegrowing Breakout Session

1:30 pm – 3:30 pm The Global Market for Wine
Business & Operations Breakout Session

1:30 pm – 3:30 pm Making the Most of Your Message: Building a Bridge Between Winegrowing, Marketing & PR to Effectively Reach Today’s Consumer
Marketing/Public Relations Breakout Session

2:30 pm – 3:45 pm Eggs, Uprights, Puncheons and More: Making Your Best Wine in Unusual Containers
Winemaking Breakout Session

4:00 pm – 6:00 pm Regional Wine Tasting

6:15 pm – 8:00 pm UC Davis Viticulture & Enology Alumni, Students, Faculty and Friends Reception

Thursday January 26

8:00 am – 4:00 pm Registration

9:00 am – 4:00 pm Exhibits Open

9:00 am – 11:30 am Adapt or Go Extinct: Removing Barriers to Our Industry’s Success
General Session

9:00 am – 10:30 am Presentada en español (Presented in Spanish)

Tecnologías de vanguardia para la producción de uva y elaboración de vino
Sesión General en español

Leading-edge Technology in Grapegrowing and Winemaking
Spanish General Session

10:45 am – Noon Presentada en español (Presented in Spanish)

La decisión inteligente de utilizar material de propagación limpio
Sesión en Español de Viticultura

The Smart Decision of Using Clean Plant Material
Spanish Grapegrowing Breakout Session

10:45 am – Noon Presentada en español (Presented in Spanish)

El Arte de Encontrar el Balance Ideal de un Vino
Sesión en Español de Enología

The Art of Finding a Wine’s Ideal Balance (Sweet Spot)
Spanish Winemaking Breakout Session

11:30 am – 1:00 pm Hosted Buffet Luncheon

1:15 pm – 3:15 pm Cooperage Alternatives
Winemaking English Tour

1:30 pm – 3:30 pm Presentada en español (Presented in Spanish)

Alternativas de Tonelería
Tour en Español de Enología

1:15 pm – 2:15 pm FSMA – Food Safety Modernization Act
Winemaking Breakout Session

1:15 pm – 3:15 pm Beyond the Tasting Room: Marketing Your Wines Today
Marketing/Public Relations Breakout Session

1:15 pm – 3:15 pm Vineyard Mechanization: Moving to the “No Touch Vineyard?
Grapegrowing Breakout Session

1:15 pm – 3:15 pm To Grow or Not to Grow: While the Common Wisdom Is That Growth is Good, is it Really? And if it is Good for You, How to do It?
Business & Operations Breakout Session

1:15 pm – 3:15 pm Mechanization
Grapegrowing English Tour

1:30 pm – 3:30 pm Presentada en español (Presented in Spanish)

Mecanización
Tour en Español de Viticultura

2:30 pm – 3:30 pm Beyond the Bottle:  Packaging Innovations for Winemakers
Winemaking Breakout Session

“Wine By Numbers” and the Wine Market Data Trilemma

Readers send me email every week looking for wine economics data because they frequently get frustrated trying to find current information about wine consumption, production, prices and trade. Lots of data are collected, but it isn’t always easy to sort through and it is often available only at a cost (frequently a very high cost).

Sometimes it seems like there is a wine economics data trilemma (I talk about trilemmas in my new book Money, Taste, and Wine: It’s Complicated).  Researchers want the three Cs: data that is current, complete and cheap (free is even better), but it is hard to get all three.

Current and complete will cost you. Current and cheap is sometimes available, but it might not be complete. Complete and cheap, yes, but maybe a bit dated. You can probably think of examples of all three “trilemma” trade-offs.

There may not be a solution to this trilemma, but I am always looking for resources that can help fill in the gaps and I think I have found one in “Wine by Numbers,” which is provided by Il Corriere Vinicola and the Unione Italiana Vini, an association of Italian wine producers whose 500 members account for 70% of the nation’s wine.  The website explains its purpose this way

The first web magazine dedicated to the international wine trade. Data and figures of the main exporter and importer countries at a glance: Italy, France, Spain, Argentina, Chile, Australia, New Zealand, South Africa, USA, Canada, UK, Germany, Switzerland, Russia, China, Hong Kong, Japan, South Korea, Brazil.

The data are exposed in tables and figures with details on packaged wines, bulk and sparkling, showed in volume, value and average price.

Free monthly and annual pdf publications are provided by “Wine by Numbers” and, while they don’t eliminate the trilemma issue, they are great resources for anyone wishing to know more about world wine markets.

Natural Cork vs Alternative Closure Wars: Race to the [Wine Bottle] Top

At the end of my review of To Cork or Not to Cork, George Taber’s informative 2007 survey of the wine bottle closure wars, I vented some frustration. Not with the book, which is great, but with the closures themselves. Taber taught me that no wine bottle closure was perfect, although he had high hopes that competition among closure producers would make the future brighter. Here’s the conclusion of my 2007 column.

[Taber writes that]  … finding a solution to the wine closure dilemma is a worldwide problem and global market competition is forcing the stopper makers to innovate and make better and better closures and forcing winemakers to get better, too, since they can no longer automatically blame any flaws in their wines on bad corks. “Unfettered competition,” he writes, “remains a powerful driving force for good.”

I think Taber is right, but for now I’m just standing here in the basement, looking with suspicion at the wine in my little cellar, trying to guess what is going on beneath the lids. Having read Taber’s book, I now know enough to be anxious about each and every bottle!

A Wealth of  Closure Choices

Eight years have passed and the closure wars continue. Perhaps the single most-asked question when I speak to consumer groups is about what’s at the top of the bottle, not the contents. “What do you think of screw-caps?”  Well, what should I think?

The question continues to haunt the wine industry. Recently two U.S. wine industry monthlies featured cover stories on the closure wars. “Alternative Closures Go Upscale” was the headline on the May 2015 issue of Wine & Vines. while the June issue of Wine Business Monthly featured their 2015 “Closure Survey Report.”

Jane Firstenfeld’s Wines & Vines article “Unconventional Toppers for Top-Shelf Wines” takes the form of a series of brief interviews with premium winemakers who report their use of screw-cap closures (including Van Duzer, Chehalem, Meoimi, Silverado and Sonoma-Cutrer) or synthetic closures (Schug and Eberle).

The article gives a sense of the great variety of alternative closures available (gone are the days of one-size fits all) and the research and trials necessary to assure the best possible fit between wine, winemaker and closure. It’s a good piece of reporting if you have a dog in this fight!

Natural Cork is #1. So are Synthetic Closures. Discuss.

Curtis Phillips presents the results of the Wine Business Monthly survey of winery closure use in his article “Natural Closures Rated Highest.” One colorful graph caught my eye — it showed the results of the survey for five years where respondents were asked which closures they used for their $14-$25 red wines? Options (more than one choice allowed) started with natural cork and moved on to technical cork, synthetic closures, screw caps and an “other,” category that includes Zork and Vino-Seal.

The graph suggests that natural cork is used by about 50% of the wineries surveyed, down from nearly 70% a few years ago. Technical cork is shown rising from about 20% to 30%, while ynthetic closures are roughly stable at a little more than 10% and screw caps are shown rising from about 10% to 30%.

The devil is in the details in surveys like this and to their credit WBM provides details that clarify the picture. The unit of analysis for the survey is the winery whether it is big or small, which changes up the conclusions you might otherwise draw.

Many more wineries use natural cork, but many more bottles of wine here in the U.S. are sealed by synthetic closures. The 10% of wineries that use the synthetics such as Nomacorc include some boutiques (Oregon’s Ken Wright Cellars, for example) and some giants (Gallo), so that about half of all wine bottled in the U.S. comes with a synthetic closure even though only about 10% of wineries surveyed use it.

There is more to the WBM story than this, of course. Winery respondents were asked to give their ratings of closure alternatives and the result is a rising tide — all of the closures were rated higher than they were a few years ago. When it comes to quality in wine closures, the trend seems to be up and up.

Creative Destruction in the Closure World

This did not surprise me because closure manufacturers keep me well-supplied with press releases about their newest innovations and I have been impressed with the way that they have responded to criticisms and invested in improved technology giving wineries higher quality and greater choice. There has also been something of a shakeout taking place over the years, with some producers dropping out of the market, increasing the scale of the others, which further increases the return to new investment.

The race to the top is true for natural cork, as Antonio Amorim and Carlos de Jesus made sure I appreciated when I met with them in Porto last year.  Natural cork producers made a terrible mistake when they did not recognize problems in past years, and they paid a high price in lost market share as a result, Amorim told me.

But better consistency, higher technical quality and strong consumer acceptance makes natural cork a competitor in every market, he said. And of course better natural corks force the other closure makers to raise their game, too. Winemakers and wine consumers certainly gain.

If there’s one area where cork closures would seem to have an unavoidable disadvantage over screw-caps, however, it would be convenience. Screw caps are just easier to handle and, with rising technical quality, that would seem to give it a big advantage in some markets at least. Even wine guru Hugh Johnson thinks so. His  May 2015 column in Decanter magazine proclaimed that “I am faintly irritated now when I come to open a bottle of wine and find I need a corkscrew.” Gosh! The screw-cap is “incomparably better” than natural cork, he says.

Do the Twist — Like This!

Well, Amorim doesn’t want to lose Hugh Johnson’s business (or anyone else’s) so last year they released a screw-cork closure called Helix.  That’s right — screw-cork (see the image above). The cork and specially-made bottle are designed so that the cork screws into (and out of) the bottle slick as can be.

Screw-cork? Amazing.Probably not as important in the grand scheme of things as the technical improvements in cork production at Amorim, but still a great example of how innovation occurs even in centuries-old industries like cork closures.  Is this an example of Taber’s idea that unfettered competition is a driving force for for good? When it comes to closures, it sure seems to be true. Here’s to the race to the top!

Why Haven’t Corporations Crushed the Family Wine Business?

The featured essay in the current issue of The Economist newspaper focuses on family businesses and makes the case that they are a surprisingly robust feature of post-industrial capitalism.

This struck a note with me because the next two scheduled Wine Economist columns deal with different aspects of family wine businesses.  The Economist survey, which is written by Adrian Wooldridge, would make great background reading to what’s coming up here.

All in the [Wine] Family

The conventional wisdom, as The Economist explains, is that family businesses were a natural fit with early capitalism, when trust was at a premium and finance mainly came from within the family or the firm itself. The principal-agent problem can be mitigated somewhat if principal and agent are part of the same family unit. And family members can be more reliable (and patient) sources of finance than others.

There are problems with family firms, however, which are said to limit their scale, scope and longevity. One problem is generational transitions, which are often difficult (in business as is other aspects of life). The British have a saying that it is “clogs to clogs in three generations” as the dynamism that built the family firm is dissipated and the business eventually shrinks, fails, or falls into the hands of outsiders. You can probably think of examples of this from your own experience. I have heard it said that it is “shirtsleeves to shirtsleeves in three generations” here in the U.S. and it amounts to the same thing.

The conventional wisdom, descended from management guru Alfred Chandler and others, is that the modern company is increasingly rationalized and best run by highly-trained hired professional managers not hereditary top dogs. The irrational, unprofessional family necessarily plays a smaller and smaller role.

Talkin’ ‘Bout My Generations

The Economist makes the point that successful family companies have adapted in many ways. In some regions (Asia is highlighted) and some sectors, they have achieved conventional wisdom-busting dominance.  Under the right circumstances, it seems, family companies more than hold their own again publicly-traded competition.

Would it surprise you if I said that several of The Economist‘s examples of successful family firms come from the wine industry? I hope not, because that’s one of the themes I aim to explore in the next two columns. What wine companies get spotlighted? The first is very old indeed. The family behind Marchesi Antinori has been in the wine business for 26 generations. Giovanni di Piero Antinori entered the Florentine winemakers’s guild in 1385. That’s a lot of family wine history!

The second example is very different. The Economist cites Bernaud Arnault’s family ownership of Möet Hennessy Louis Vuitton. LVMH is a world class luxury goods conglomerate with substantial investment in wine and spirits brands, but I’m not sure if it is as much a multi-generation family company as a closely-held company (especially compared to the Antinori). But the success is still important and, as you will see, privately-held firms play a role in my analysis, too, and stand in general opposition to Chandler’s orthodoxy.

Another informative example of this type is the Rupert family of South Africa. The Ruperts have built a considerable luxury goods empire through their Richemont holding company. Richemont controls many familiar brands including Cartier and Alfred Dunhill. Anton Rupert was an important force in the development of the contemporary South African wine industry and the family is today well-known for its South African fine wine projects including Rupert & Rothschild, Antonij Rupert and La Motte.

Beyond the South Sea Bubble

The last example given is Berry Bros. & Rudd, the London fine wine merchant that has been in business since 1698. The discussion of BB&R focuses on the ability of families to ride out short term crises while keeping an eye on the horizon. Once your business has lived through the South Sea Bubble, seventh generation company chief Simon Berry quips, you are ready for whatever the modern economy throws at you.

Berry’s comment actually understates the situation because all business have to deal with the disruptive consequences of financial crises and macroeconomic cycles. The situation for wine businesses is even worse because wine is fundamentally an agricultural product and so is subject to natural harvest variations as well as boom-bust “cob-web” cycles of high prices, over-planting and decline or collapse. Any wine business — public, private or family — must navigate an unusually treacherous sea.

What’s the key to the success of family wine businesses? And what happens when family firms turn corporate? It’s impossible to generalize because there are so many diverse factors, but I think we can learn something from case studies. Come back next week for the family boom to corporate bust story of the Taylor Wine Company. Cheers!

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This week’s Economist also includes a very short article about investing in wine.

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Creative destruction? The Who ta-ta-ta-talk about their genereation.