Marketing assignment on: Hunter Valley in New South Wales, Australia

Marketing assignment on: Hunter Valley in New South Wales, Australia

A1) The Petit Hunter vineyard is located in Hunter Valley in New South Wales, Australia. The SWOT analysis of the company reveals:

Assignment Writing Tutor AustraliaStrengths: Petit Hunter’s biggest strength is its product. Its white wine is of good quality and enjoys a good brand image in the minds of customers. The trademark blue cornflower of Petit Hunter enjoys good brand recall. Petit Hunter is a drier white wine which is uniquely flavored. Petit Hunter has considerable technical expertise and years of direct and indirect sales experience. Its skills and core competencies in viticulture and processing are considerable.

Weaknesses: Petit Hunter is not a large wine maker. It therefore lacks the economies of scale which large wine makers enjoy. So Petit Hunter’s wine cannot compete with the wines of large wine makers on the basis of costs. Petit Hunter also cannot afford large marketing budgets required for entering markets like United States of America.

Opportunities: There are many opportunities for Petit Hunter to create niche segments for itself in international markets like Europe and China. Such is the potential of the European markets that it is quite probable that in the near future the headquarters of Petit Hunter may shift from Hunter Valley, Australia to Austria or a little further north to Bavaria in Germany. This whole region has a rich tradition of small, intimate wine bars where Petit Hunter’s uniquely flavored white wine is likely to find a natural home.

Assignment Help AustraliaThe Chinese market presents another good opportunity for Petit Hunter. Chinese government may subsidize its entry into the market in exchange for training the local people in viticulture.  The Chinese government also offers export assistance to companies looking for setting up their wine processing facilities there and then using China as a base for their wine exports. Eligible wine makers also get access to office facilities and support staff under the Access China program. The large and growing potential wine market in China offers exciting long term opportunity for Petit Hunter. It can also explore other emerging markets in the near future.

Threats: The biggest threat comes from the Australian push to consolidate the wine industry into a few larger multinational companies. Increasing international competition is another threat that Petit Hunter is facing. These imported wines from Europe and United States are much cheaper than Petit Hunter’s wine.

A2) Right strategies, tactics and methods can enable Petit Hunter to exploit the opportunities and overcome the problems and barriers. European and Chinese markets present significant opportunities for Petit Hunter. The wine maker needs to capitalize on its strengths. However if the strategy and tactics go wrong then Petit Hunter will not be able to capitalize on its strengths and exploit the opportunities presented by these markets.

Essay Writing Tutor SydneyCapital expenditure is a big issue for Petit Hunter. It should use that mode for entry into European and Chinese markets that requires minimum capital expenditure. It should try the export route first for entering the European market instead of going straight away and set wine processing facilities there. This will require no capital expenditure at all. However the import duties in some European countries may make Petit Hunter’s wines dearer and therefore less competitive.  So the import duty factor should be taken into account while making the decision on the mode of entering a new market. The advantage of export route is that it requires little capital expenditure.

The Chinese government offers many facilities and subsidies to wine makers who help locals in learning viticulture. It would be a better strategy to first understand the unique characteristics of the Chinese and European wine markets. Petit Hunter should establish relationships with experienced local importers and distributors in these countries. It should first export its white wines into the Chinese and European markets. If its wines succeed in creating a niche market for itself in these markets and the potential of these markets is large then in future Petit Hunter may take the step of setting up its processing facilities in these countries.

Buy Sample AssignmentThe marketing strategies in these new markets should position the Petit Hunter brand as a premium white wine brand which uses environmental friendly processes in its wine processing operations. Its marketing strategy should be such that the marketing message reaches to its target segment. Marketing strategy will play a critical role in the success of Petit Hunter in these markets. Petit Hunter has core competencies in wine processing. If these core competencies are complemented by right marketing and branding, then it will definitely succeed in taking advantage of the opportunities that these markets offer.

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