IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v13y2021i18p10117-d632351.html
   My bibliography  Save this article

Not All Wine Businesses Are the Same: Examining the Impact of Winery Business Model Extensions on the Size of Its Core Business

Author

Listed:
  • Marc Dressler

    (Department of Viticulture and Oenology, FB Entrepreneurship, University of Ludwigshafen, 67435 Ludwigshafen, Germany)

  • Ivan Paunovic

    (Rural Region Service Centre, 67435 Neustadt and der Weinstraße, Germany)

Abstract

The purpose of this paper is to examine the impact that various types of business model extensions (hospitality and tourism, online sales platforms, and sustainability) have on the winery business. The research is based on company data and online observations of N = 886 German wineries and deploys a content analysis, netnography, and structural equation modeling (SEM) in order to test the hypothesis on business model extensions of wineries, which have been set forth in the previous literature. The findings indicate that business model extensions related to online sales platforms have a positive impact on winery business size. These results mean that developing online sales platforms enlarges the winery BM (business model) size and type (manager-run, state-owned, or cooperatives). The paper presents in detail the impact of winery BM extensions on winery BM model type and size, thereby contributing to the literature on business model innovation.

Suggested Citation

  • Marc Dressler & Ivan Paunovic, 2021. "Not All Wine Businesses Are the Same: Examining the Impact of Winery Business Model Extensions on the Size of Its Core Business," Sustainability, MDPI, vol. 13(18), pages 1-16, September.
    • Handle: RePEc:gam:jsusta:v:13:y:2021:i:18:p:10117-:d:632351
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/13/18/10117/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/13/18/10117/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Marc Dressler & Ivan Paunovic, 2021. "The Value of Consistency: Portfolio Labeling Strategies and Impact on Winery Brand Equity," Sustainability, MDPI, vol. 13(3), pages 1-18, January.
    2. Marko Sarstedt & Erik Mooi, 2014. "The Market Research Process," Springer Texts in Business and Economics, in: A Concise Guide to Market Research, edition 2, chapter 2, pages 11-23, Springer.
    3. Stéphane Ouvrard & Sajjad M. Jasimuddin & Antonio Spiga, 2020. "Does Sustainability Push to Reshape Business Models? Evidence from the European Wine Industry," Sustainability, MDPI, vol. 12(6), pages 1-13, March.
    4. Jarvis, Cheryl Burke & MacKenzie, Scott B & Podsakoff, Philip M, 2003. "A Critical Review of Construct Indicators and Measurement Model Misspecification in Marketing and Consumer Research," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 30(2), pages 199-218, September.
    5. Chammassian, Raffi Gabriel & Sabatier, Valerie, 2020. "The role of costs in business model design for early-stage technology startups," Technological Forecasting and Social Change, Elsevier, vol. 157(C).
    6. De Silva, Muthu & Al-Tabbaa, Omar & Khan, Zaheer, 2021. "Business model innovation by international social purpose organizations: The role of dynamic capabilities," Journal of Business Research, Elsevier, vol. 125(C), pages 733-749.
    7. Bouwman, Harry & Nikou, Shahrokh & de Reuver, Mark, 2019. "Digitalization, business models, and SMEs: How do business model innovation practices improve performance of digitalizing SMEs?," Telecommunications Policy, Elsevier, vol. 43(9).
    8. Richard A. Bettis & Constance E. Helfat & J. Myles Shaver & Douglas J. Miller & Hsiao-Shan Yang, 2016. "The dynamics of diversification: Market entry and exit by public and private firms," Strategic Management Journal, Wiley Blackwell, vol. 37(11), pages 2323-2345, November.
    9. Christmann, A. & Van Aelst, S., 2006. "Robust estimation of Cronbach's alpha," Journal of Multivariate Analysis, Elsevier, vol. 97(7), pages 1660-1674, August.
    10. Marc Dressler & Ivan Paunovic, 2021. "A Typology of Winery SME Brand Strategies with Implications for Sustainability Communication and Co-Creation," Sustainability, MDPI, vol. 13(2), pages 1-17, January.
    11. Neva Bojovic & Corine Genet & Valerie Sabatier, 2018. "Learning, signaling, and convincing: The role of experimentation in the business modeling process," Post-Print hal-01591698, HAL.
    12. To, Chester K.M. & Chau, K.P. & Kan, Chi Wai, 2020. "The logic of innovative value proposition: A schema for characterizing and predicting business model evolution," Journal of Business Research, Elsevier, vol. 112(C), pages 502-520.
    13. Byrd, Erick T. & Canziani, Bonnie & (Jerrie) Hsieh, Yu-Chin & Debbage, Keith & Sonmez, Sevil, 2016. "Wine tourism: Motivating visitors through core and supplementary services," Tourism Management, Elsevier, vol. 52(C), pages 19-29.
    14. B. Demil & X. Lecocq, 2010. "Business model evolution : in search of dynamic consistency," Post-Print hal-00572915, HAL.
    15. Neva Bojovic & Corine Genet & Valerie Sabatier, 2018. "Learning, signaling, and convincing: The role of experimentation in the business modeling process," Grenoble Ecole de Management (Post-Print) hal-01591698, HAL.
    16. Marko Sarstedt & Erik Mooi, 2014. "A Concise Guide to Market Research," Springer Texts in Business and Economics, Springer, edition 2, number 978-3-642-53965-7, August.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Marc Dressler & Ivan Paunovíc, 2021. "Business Model Innovation: Strategic Expansion of German Small and Medium Wineries into Hospitality and Tourism," Administrative Sciences, MDPI, vol. 11(4), pages 1-12, December.
    2. Riffat Ara Zannat Tama & Md Mahmudul Hoque & Ying Liu & Mohammad Jahangir Alam & Mark Yu, 2023. "An Application of Partial Least Squares Structural Equation Modeling (PLS-SEM) to Examining Farmers’ Behavioral Attitude and Intention towards Conservation Agriculture in Bangladesh," Agriculture, MDPI, vol. 13(2), pages 1-22, February.
    3. Kuppelwieser, Volker G. & Sarstedt, Marko & Tuzovic, Sven, 2014. "The role of context and motivation variables in mobile commerce usage — A further perspective on Chong (2013)," Technological Forecasting and Social Change, Elsevier, vol. 88(C), pages 156-161.
    4. Schlägel, Christopher & Sarstedt, Marko, 2016. "Assessing the measurement invariance of the four-dimensional cultural intelligence scale across countries: A composite model approach," European Management Journal, Elsevier, vol. 34(6), pages 633-649.
    5. Yelena Popova & Sergejs Popovs, 2022. "Impact of Smart Economy on Smart Areas and Mediation Effect of National Economy," Sustainability, MDPI, vol. 14(5), pages 1-19, February.
    6. Marc Dressler & Ivan Paunovic, 2021. "A Typology of Winery SME Brand Strategies with Implications for Sustainability Communication and Co-Creation," Sustainability, MDPI, vol. 13(2), pages 1-17, January.
    7. Nitzl, Christian, 2016. "The use of partial least squares structural equation modelling (PLS-SEM) in management accounting research: Directions for future theory development," Journal of Accounting Literature, Elsevier, vol. 37(C), pages 19-35.
    8. Silvia Sanasi, 2023. "Entrepreneurial experimentation in business model dynamics: Current understanding and future opportunities," International Entrepreneurship and Management Journal, Springer, vol. 19(2), pages 805-836, June.
    9. Evers, Natasha & Ojala, Arto & Sousa, Carlos M.P. & Criado-Rialp, Alex, 2023. "Unraveling business model innovation in firm internationalization: A systematic literature review and future research agenda," Journal of Business Research, Elsevier, vol. 158(C).
    10. Schmitz Sven Olaf & Michniuk Agnieszka & Heupel Thomas, 2019. "Beyond Budgeting – A Fair Alternative For Management Control? - Examining The Relationships Between Beyond Budgeting And Organizational Justice Perceptions," Studies in Business and Economics, Lucian Blaga University of Sibiu, Faculty of Economic Sciences, vol. 14(2), pages 160-180, August.
    11. Guo, Jingjing & Zhou, Shasha & Chen, Jin & Chen, Qi, 2021. "How information technology capability and knowledge integration capability interact to affect business model design:A polynomial regression with response surface analysis," Technological Forecasting and Social Change, Elsevier, vol. 170(C).
    12. Adam Malešević & Dušan Barać & Dragan Soleša & Ema Aleksić & Marijana Despotović-Zrakić, 2021. "Adopting xRM in Higher Education: E-Services Outside the Classroom," Sustainability, MDPI, vol. 13(14), pages 1-20, July.
    13. Costa Synodinos, 2019. "Environmental purchase behaviour concerns of African Generation Y students in South Africa," Proceedings of International Academic Conferences 9912363, International Institute of Social and Economic Sciences.
    14. Marzanna Witek-Hajduk & Tomasz Marcin Napiórkowski, 2017. "Manufacturers’ Benefits from Their Cooperation with Key Retailers in the Context of Business Models: A Cluster Analysis," International Journal of Management, Knowledge and Learning, International School for Social and Business Studies, Celje, Slovenia, vol. 6(1), pages 97-114.
    15. Yli-Renko, Helena & Denoo, Lien & Janakiraman, Ramkumar, 2020. "A knowledge-based view of managing dependence on a key customer: Survival and growth outcomes for young firms," Journal of Business Venturing, Elsevier, vol. 35(6).
    16. Ng, Wei Keat Benny & Appel-Meulenbroek, Rianne & Cloodt, Myriam & Arentze, Theo, 2019. "Towards a segmentation of science parks: A typology study on science parks in Europe," Research Policy, Elsevier, vol. 48(3), pages 719-732.
    17. Xieyang Chen & Xingmin Shi, 2021. "Support or against coal mining? Host community perceptions of coal mining: a cluster analysis," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 23(5), pages 6819-6837, May.
    18. Elena Mieszajkina, 2021. "The Impact of Managers' Competences upon the Performance of Small Enterprises," European Research Studies Journal, European Research Studies Journal, vol. 0(Special 2), pages 730-740.
    19. Ming Yang & Jinglu Jiang & Melody Kiang & Fangyun Yuan, 2022. "Re-Examining the Impact of Multidimensional Trust on Patients’ Online Medical Consultation Service Continuance Decision," Information Systems Frontiers, Springer, vol. 24(3), pages 983-1007, June.
    20. Meldrick Arjay A. Magsino & Reynold S. Beredo & Arex A. Anza, 2014. "The Motivational Effects of LPU Awards of Excellence: Basis for Improvement," International Journal of Academic Research in Business and Social Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Business and Social Sciences, vol. 4(12), pages 371-397, December.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:13:y:2021:i:18:p:10117-:d:632351. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.