In Vino Veritas: The Effects of Different Management Configurations in German Viniculture

GEABA Discussion Paper No. 04-06

18 Pages Posted: 12 May 2004

Date Written: May 2004

Abstract

Different management configurations have distinct performance effects. In particular, this is examined for vine-growing estates in Germany. For several reasons managers will prefer higher quality over quantity, thus producing better wines at higher prices in lower volume than self-managing owners do. Conversely, members of cooperatives have divers incentives to sell more and cheaper bottles of lower quality than independent winegrowers. These hypotheses are theoretically derived and empirically tested as well as confirmed for German viniculture.

Keywords: Cooperative, quality preference, viniculture, vineyard, wine

JEL Classification: Q10, L66, P13, C20, L21, D21, J43, J24, M50

Suggested Citation

Dilger, Alexander, In Vino Veritas: The Effects of Different Management Configurations in German Viniculture (May 2004). GEABA Discussion Paper No. 04-06, Available at SSRN: https://ssrn.com/abstract=545002 or http://dx.doi.org/10.2139/ssrn.545002

Alexander Dilger (Contact Author)

University of Münster ( email )

Institute for Organisational Economics
Scharnhorststr. 100
Münster, D-48151
Germany
+49-251-83-25330 (Phone)
+49-251-83-28429 (Fax)

HOME PAGE: http://www.wiwi.uni-muenster.de/io/en/organisation/Dilger.html

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