AMERICAN ASSOCIATION OF WINE ECONOMISTS AAWE WORKING PAPER No. 261 Economics THE MARKET FOR WINE QUALITY EVALUATION: EVOLUTION AND FUTURE PERSPECTIVES Magalie Dubois Jan 2021 www.wine-economics.org AAWE Working Papers are circulated for discussion and comment purposes. They have not been subject to a peer review process. The views expressed herein are those of the author(s) and do not necessarily reflect the views of the American Association of Wine Economists AAWE. © 2021 by the author(s). All rights reserved. Short sections of text, not to exceed two paragraphs, may be quoted without explicit permission provided that full credit, including © notice, is given to the source. The market for wine quality evaluation: evolution and future perspectives Magalie Dubois https://orcid.org/0000-0003-1689-8559 LAREFI, Department of Economics University of Bordeaux Avenue Léon Duguit, 33608 Pessac (France)
[email protected] ABSTRACT Most economic studies on expert wine evaluation focus on this evaluation as a determinant of wine prices, whereas most management research on the topic tackles its impact on the perception of wine quality: wine consumers use expert evaluation as an external quality cue. In the present research, we intend to fill the gap in valuation studies. We propose a first extensive exploration and categorization of five decades of research on wine quality signaling and evaluation through market analysis. We review the emergence and evolution of a consumer- oriented wine evaluation market, providing a critical account of demand, and unveil the market structure and mechanisms. The parallel development of scientific knowledge and technical practices over the last few decades has had a significant impact on wine quality definition and evaluation.