LaMarcus Bailey, Angelica Bojorquez Ochoa, Jacqueline Reyes, Bramm Scholz, Tiffany Wilkes, Ian Wood Bus 499 – Dante DiGregorio California State University Monterey Bay ANTLE WINES – PINNACALITOS DE CHALONE TABLE OF CONTENTS EXECUTIVE SUMMARY ............................................................................................................ 3 HISTORY AND OVERVIEW ....................................................................................................... 7 INTRODUCTION ...................................................................................................................... 7 HISTORY ................................................................................................................................... 7 Milestones ................................................................................................................................... 8 OVERVIEW ................................................................................................................................... 8 Mission, Vision and Guiding Principles ..................................................................................... 8 Organizational Structure ............................................................................................................. 9 Products....................................................................................................................................... 9 Services ....................................................................................................................................... 9 Markets Served ......................................................................................................................... 10 INDUSTRY INTRODUCTION ................................................................................................... 10 Wine Industry............................................................................................................................ 10 Wine Tourism ........................................................................................................................... 11 CONCLUSION ............................................................................................................................. 12 EXTERNAL ANALYSIS ............................................................................................................. 15 INTRODUCTION ........................................................................................................................ 15 DRIVING FORCES: WINE ......................................................................................................... 15 DRIVING FORCES: WINE TOURISM ...................................................................................... 16 EXTERNAL STAKEHOLDERS ................................................................................................. 16 Buyers ....................................................................................................................................... 16 California Wine Producers ........................................................................................................ 17 Foley Family ............................................................................................................................. 17 Stakeholder Opportunities ........................................................................................................ 17 COMPETITIVE ENVIRONMENT.............................................................................................. 17 Direct Competitors .................................................................................................................... 17 Indirect Competitors ................................................................................................................. 18 Substitutes ................................................................................................................................. 18 WINE POSITIONING .................................................................................................................. 19 WINE TOURISM POSITIONING ............................................................................................... 21 INDUSTRY-LEVEL KEY SUCCESS FACTORS ...................................................................... 22 COMPETITIVE FORCES ............................................................................................................ 23 Threat of New Entrants ............................................................................................................. 23 iii ANTLE WINES – PINNACALITOS DE CHALONE Bargaining Power of Suppliers ................................................................................................. 23 Bargaining Power of Buyers ..................................................................................................... 24 Rivalry Among Existing Competitors ...................................................................................... 24 Threat of Substitute Products .................................................................................................... 24 COMPETITIVE DYNAMICS ..................................................................................................... 24 Summary of Findings ................................................................................................................ 25 CONCLUSION ............................................................................................................................. 25 INTERNAL ANALYSIS AND CURRENT STRATEGIES ....................................................... 29 INTRODUCTION ........................................................................................................................ 29 RESOURCES AND CAPABILITIES .......................................................................................... 29 INTERNAL STAKEHOLDERS .................................................................................................. 30 Chalone Appellation ................................................................................................................. 31 Summary of Findings ................................................................................................................ 31 VALUE-ADDING ACTIVITIES ................................................................................................. 32 Primary Activities ..................................................................................................................... 33 Support Activities ..................................................................................................................... 33 Summary of Findings ................................................................................................................ 34 PERFORMANCE MEASURES ................................................................................................... 34 Financial Performance Analysis ............................................................................................... 34 Other Performance Analyses .................................................................................................... 36 Key performance indicators for wineries .................................................................................. 36 Summary of Findings ................................................................................................................ 37 CURRENT STRATEGIES ........................................................................................................... 37 Business-Level Strategy............................................................................................................ 37 Summary of Findings ................................................................................................................ 38 CONCLUSION ............................................................................................................................. 38 POSSIBILITIES AND RECOMMENDATIONS ........................................................................ 43 INTRODUCTION ........................................................................................................................ 43 OPTION 1: LONG-TERM INVESTMENT AND DEVELOPMENT OF WINERY ................. 43 Strengths ................................................................................................................................... 44 Weaknesses ............................................................................................................................... 44 OPTION 2: VANITY VINEYARD.............................................................................................. 45 Strengths ................................................................................................................................... 45 Weaknesses ............................................................................................................................... 46 iv ANTLE WINES – PINNACALITOS DE CHALONE OPTION 3: AGRITOURISM ....................................................................................................... 46 Bed and Breakfast/Retreat ........................................................................................................ 46 Strengths ................................................................................................................................... 47 Weaknesses ..............................................................................................................................