Perceptions of Country Image and Product Marketing: A Study of Wine Brands from Chile and Argentina

Abstract

The establishment of a global reputation for excellence in a certain industry can take decades for a country. The wine industry is a classic example. European winemakers have dedicated centuries to the cultivation of some of the finest vineyards in the world and the corresponding brands have benefitted greatly from the country brand associated with their products. “Newer” wine producing countries, such as Chile, Argentina, South Africa and Australia, have had to face an uphill battle to obtain a strong footing in the global wine industry. Sophisticated consumers may associate wines from these countries with lower quality, in part due to the low-cost entry strategy that many firms have chosen. Yet to what extent do perceptions of specific brands and the industry as a whole vary across rival wine producing countries? In this study we probe this question by assessing consumer perceptions of select wines and country brands from Chile and Argentina. Although there has been an increase in the academic literature in recent years of country brand studies and conceptual frameworks related to country of origin very little work has been done in emerging markets in general, and related to the wine industry in particular. In this study we will solicit and assess perceptions of Chilean and Argentine brands by consumers from both developed (USA, Italy and Canada) and emerging (Peru and Colombia) economies.