Case Study Wine Market in China

Quesions: 1.Explain the product or service that your syndicate has identified as a viable product in Asia. Product decided?Wine?2. Identify the country where the product will be sold within Asia (the target country or market). ?For the country, choose the easiest one from China, South Korea and Japan? Answers: 1. The business market in Asia is progressing in a very fast pace. It has been seen that four economies in the East Asia and Pacific region has ranked among the top ten economic globally. In this list of top ten, Singapore, Hong Kong, China and South Korea have the ranks of second, third, fourth and fifth position respectively (worldbank.org 2017). This is the proof of the development of Asian business market. There are various kinds of profitable products around which a business can be formed. Among all these products, one of the most popular and profitable business is the wine business. There are some reasons behind the selection of wine business. It has been seen that rice wine is available everywhere in Asia. However, the grapes wine is not as common as the rice wines because of the fact that a little production of grape wine is done in some selective areas of Asia. However, the demand for grape wine is always there in the market of Asia. One of the major reasons of the popularit y of grape wine is the income growth of the people of Asia. Due to the increase in income, the people of Asia have become fonder of grape wine; and this reason leads to the growth in wine market (bbc.com 2017). In the era of twenty-first centuries, many countries are Asia has been producing wine in a large extent. This is one of the major reasons to choose wine as a business product. It has been seen that the wine production countries are not able to match the demand of wine. This shows the popularity and demand of wine in the market of Asia. 2. For this wine business, China has been selected for the sales of wines in the Asian market. There are some major reasons behind the selection of China as the target market. China has one of the largest markets for grape wines in Asia as the total worth of the grape wine market of China was US$ 38.3 billion (dccchina.org 2017). It has been expected that the wine market of China is going to increase to 81%. It has been anticipated that by the year of 2019, the total worth of the grapes wine market of China will be of US$ 69.3 billion. Since 2010, the volume of the grapes wine market of China has increased by 132% and it has reached to 2,466 million liters in the year of 2015 (agr.gc.ca 2017). All these statistics of the China wine market show that China has the greatest opportunity for the grape wine market to grow. Apart from these statistics, it is a fact that the people of China have the knowledge and preference of the grape wines. This is one of the main reasons that contribute to the progress of grape wine market in China. These are the reasons that lead to the selection of china as the target market or target country for the grapes wine business. References Agr.gc.ca. (2017).Sector Trend Analysis - The Wine Market In China - Agriculture and Agri-Food Canada (AAFC). [online] Available at: https://www.agr.gc.ca/eng/industry-markets-and-trade/statistics-and-market-information/agriculture-and-food-market-information-by-region/asia/market-intelligence/sector-trend-analysis-the-wine-market-in-china/?id=1476298378101 [Accessed 28 Feb. 2017]. BBC News. (2017).Wine market in South East Asia promises growing sales - BBC News. [online] Available at: https://www.bbc.com/news/business-28338984 [Accessed 28 Feb. 2017]. Dccchina.org. (2017).China imported wine consumption and market outlook is bright | DCCC. [online] Available at: https://www.dccchina.org/2016/04/china-imported-wine-consumption-and-market-outlook-is-bright/ [Accessed 28 Feb. 2017]. World Bank. (2017).East Asia and Pacific Makes Steady Progress to Improve Business Environment, says Doing Business Report. [online] Available at: https://www.worldbank.org/en/news/press-release/2016/10/25/east-asia-and-pacific-makes-steady-progress-to-improve-business-environment-says-doing-business-report [Accessed 28 Feb. 2017].