New Initiatives in the Hungarian Wine Industry: Foreign Innovation and Investment

• Published in: International journal of wine business research Vol. 5; no. 2/3; pp. 39 - 47
• Main Author: Lee Williams, Jeremy
• Format: Journal Article
• Language: English
• Published: Patrington MCB UP Ltd 01.02.1993; Emerald Group Publishing Limited
• Subjects: Case studies; Competition; Exports; Foreign investment; Hungary; Initiatives; Innovation; Investment; Liquor industry; Market entry; Market strategy; Marketing; Sparkling wine; Success; Supermarkets; Trends; Wineries; Wineries & vineyards; Wines; Hungary; United Kingdom > UK; Hungary; Innovation; Investment
• ISSN: 0954-7541; 1751-1062; 1758-6747; 1751-1070
• DOI: 10.1108/eb008616

A new modern style of wine has emerged in Hungary which draws heavily on the wine making and wine marketing success of the so- called New World. Examining two very different wine companies, one foreign-owned, the other indigeneous, this article highlights the success of these initiatives, illustrating how they have boosted Hungarian wine exports and helped create a positive image for Hungarian table wine. Such approaches cannot be followed exclusively, however. Hungary will never be able to export all its production to the west. Attention still needs to be paid to both domestic demand for the old oxidised wine styles as well as demand in the other export markets in the former COMECON countries. This should help to provide a softer landing for an industry struggling with the upheavals of the last three years. The article concludes that Hungary's willingness to experiment and adopt western methods, together with its relative economic and political stability, suggest that the Hungarian wine industry could and should become the centre for innovation in Eastern Europe.