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Managing price cycles in the Champagne industry

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  • Francis Declerck

    (Department of Finances, ESSEC Business School, B.P. 50105, 95021 Cergy-Pontoise Cedex, France)

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    Abstract

    On average, it takes three years to produce Champagne from the raw grapes, so the adjustments of supply to demand lead to jumps in retail prices during economic booms and drops in retail prices in periods of stagnation|recession. This cycle disturbs consumers and seriously affects vine growers and wine makers. This paper reports how both professions have learned from experience, and have been able to negotiate terms with retailers to limit price swings. A producer-retailer cycle is exhibited with 3 loops over the period 1978-2003. [EconLit Citations: D430, L290, L660]. © 2005 Wiley Periodicals, Inc. Agribusiness 21: 531-544, 2005.

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    File URL: http://hdl.handle.net/10.1002/agr.20063
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    Bibliographic Info

    Article provided by John Wiley & Sons, Ltd. in its journal Agribusiness.

    Volume (Year): 21 (2005)
    Issue (Month): 4 ()
    Pages: 531-544
    Download reference. The following formats are available: HTML (with abstract), plain text (with abstract), BibTeX, RIS (EndNote, RefMan, ProCite), ReDIF
    Handle: RePEc:wly:agribz:v:21:y:2005:i:4:p:531-544

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    Web page: http://onlinelibrary.wiley.com/journal/10.1002/(ISSN)1520-6297

    For corrections or technical questions regarding this item, or to correct its listing, contact: (David Hives) or (Christopher F. Baum).

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