What determines the future value of an icon wine? new evidence from Australia
Date
Authors
Wood, Danielle
Anderson, Kym
Journal Title
Journal ISSN
Volume Title
Publisher
American Association of Wine Economists
Abstract
To what extent can the future price of icon wines be anticipated from information available at the time of their initial sale by wineries? Using a seemingly unrelated regression model we show that weather variables and changes in production techniques, along with the age of the wine, have significant power in explaining the secondary market price variation across different vintages of each of three icon Australian red wines. The results have implications for winemakers in determining the prices they pay for grapes and charge for their wines, and for consumers/wine investors as a guide to the prospective quality of immature icon wines.
Description
Keywords
price, icon, wines, regression, model, Australian, red, variation, vintages, market, secondary
Citation
Collections
Source
Journal of Wine Economics
Type
Journal article