Tuesday, September 3, 2013

Globalization of the Wine Industry

Living in a global community has it advantages. In a given day, a person living in New York City can have coffee from Brazil, oranges from Florida, and cheese from Italy. Yet as oil prices fluctuate, so do the cost of shipping which can significantly effect how a company operates. This was the dilemma facing Hardys, an Australian wine company. Hardys is wildly popular in both the United Kingdom and the United States for its $5 bottles of wine. However, the 10,000 mile and 7500 mile trips that the wine must make to London and Los Angeles respectively was turning this cost-effective company into a cost-prohibitive venture. To maintain their competitive edge in the global wine market, Hardys switched its shipping strategy from bottles to bladders.

Read Full Article Here

What are some other innovative ways that companies are reducing shipping costs in the global economy?

1 comment:

Note: Only a member of this blog may post a comment.