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E & J Gallo Winery - Business Strategy Case Study

  • I am currently in a business policy and strategy class and have been asked to put together a case study on Ernest and Julio Winery, from a business strategy standpoint. For example, why did E & J choose their particular business strategy (current), and what are the strengths and weaknesses of their past strategy. I need to include a SWOT analysis, value net model, Porter's five forces model, critical factors for success, corporate level strategy and financials. Where would I find this type of information on the internet (i.e. has a case study been done previously that I can refer to)?

  • Answer:

    This is an interesting question to put to the Google search engine. A quick check of essay resources on-line didn't turn up anything regarding Gallo, but when a simple like the following is done, there are hundreds of documents: case study + Gallo Winery Gallo is the wine industry's leading company with analyses of its advertising, production and even wastewater programs available on the Internet. By adding Michael Porter's name to the search we almost immediately can find a case that discusses "The International Competitiveness of the California Wine Industry" and includes application of the Porter five forces model (with the comment "Porter’s five forces are easily applied to this industry."): http://libweb.sonoma.edu/regional/faculty/eyler/eyler.html Using the following for a Google search produces about 50 documents: case study + Gallo Winery + Porter It also turns up some interesting articles that may contribute to your analysis of corporate strategies, including this one on ad spending from Wine Business Monthly: http://www.argentinewines.com/noticias/9804int.htm Gallo also gets a mention in this chapter of an on-line management book with respect to a SWOT analysis (see page 272): http://highered.mcgraw-hill.com/olc/dl/36075/jon69447_sampch08.pdf Expanding the search using the following, produces 200 results: case study + Gallo Winery + business strategy After about 50 results, many of the Google links start showing more distant issues -- such as copyright and cyber-squatting court cases that have involved the company. However, there are a number of interesting articles and case studies that will give you different ways to look at corporate strategies: 1. This article on the competitive marketing dynamics for U.S. wine companies in overseas markets: http://economics.ag.utk.edu/pubs/business/sp9901.pdf 2. This article is more technical but contains a large amount of information on the international wine business. It also has a technical analysis with suggestions for improving U.S. wineries market share: http://online.sfsu.edu/~castaldi/bie/imprperf.htm 3. E-commerce issues facing the wine industry, highlighting some current issues for Gallo and the industry: http://uaeller.eller.arizona.edu/~mark/pubs/wp-1037.pdf 4. an outline of a case on another vintner's strategy options in supplying -- or competing against Gallo, with references to standard business analytic models: http://libweb.sonoma.edu/regional/agriculture/rjm.htm 5. An article on the vintage wine segment of Gallo's business from The Wine News: http://www.thewinenews.com/augsep97/boutiques.html 6. An analysis of the Argentinean wine industry's exports: http://www.sonoma.edu/busadmin/mba/Projects/Oyuela/oyuela_mba_project.htm Some tips to aid your searching: · consider Google's cached pages when running your search terms, as the search terms will be highlighted in color and allow you to scan documents quickly for relevance. · when searching for relevant portions of a Acrobat (*.pdf) document, use the binoculars to search for the text that you want. · many of the academic analyses of the wine industry are in California colleges, particularly Sonoma State, Berkeley and Fresno State. A search strategy with terms like these could produce more specific papers: case study + Gallo + Sonoma State This last search, for example, turns up case studies written about Robert Mondavi Corp. -- a competitor with many of the same economic forces working on it: http://online.sfsu.edu/~castaldi/bie/mondavi.htm Good luck with the analys -- it's a complex one that will introduce you to portions of the wine industry that you've probably not been aware of before now! Best regards, Omnivorous

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