Strategic positioning, differentiation and performance of Brazilian wineries

Abstract

Purpose

The purpose of this study is to verify whether managers’ strategic orientation influences decision-making related to differentiation and whether these two factors impact on the performance of the firms in the Brazilian wine industry.

Design/methodology/approach

A survey was conducted with representatives from 123 wineries located in the following Brazilian states: 78.86 per cent in Rio Grande do Sul; 13.01 per cent in Santa Catarina; 2.44 per cent in Paraná; 2.44 per cent in São Paulo; 1.63 per cent in Bahia; and 1.63 per cent in Pernambuco. The data were analyzed using multivariate statistical techniques, resulting in a structural equations model of the constructs.

Findings

The research findings show that there is a positive association between prospector orientation and differentiation. Analyst positioning was negatively associated with differentiation of winery companies. It was also possible to show that differentiation has a positive relationship with performance.

Originality/value

While a previous study attempted to identify wineries’ strategic orientation using other theoretical constructs, this study makes a contribution to consolidating reflections on strategic orientation focused on differentiation and performance. The results contribute to expanding the scientific debate by filling a gap in existing theory and also provide information of use to decision-makers, demonstrating, which approaches improve differentiation, and hence, performance.

Citation

Klinger, C.P., Silveira-Martins, E., Castro, G.J.d. and Rossetto, C.R. (2020), "Strategic positioning, differentiation and performance of Brazilian wineries", International Journal of Wine Business Research, Vol. 32 No. 2, pp. 219-246. https://doi.org/10.1108/IJWBR-11-2018-0068