Beyond terroir: a comparative analysis of Pinot Noir producers and business strategies in Burgundy, New Zealand and South Africa

Purpose This paper aims to examine the convergence and divergence of business and production practices in the global wine industry, particularly focusing on Pinot Noir producers in Burgundy, New Zealand and South Africa (SA). This study explores the interplay between firm-specific factors and regional contexts to identify competitive advantage drivers among Pinot Noir producers. Design/methodology/approach This research uses a comparative analysis approach, using data from a comprehensive winery level survey. This study applies methodologies akin to value chain analysis to unravel the configuration of productive and technology/knowledge creation activities within wineries across three regions. Findings This analysis reveals both convergence and divergence in business and production practices among Pinot Noir producers in Burgundy, New Zealand and South Africa. Although there is a degree of convergence in marketing, distribution and competition strategies, differences exist in production practices and firms’ capabilities. Burgundy emphasizes tradition and terroir expression, contrasting with the modernization and innovation focus observed in New Zealand and South Africa. However, all regions share a commitment to quality as a competitive advantage. Research limitations/implications This study acknowledges limitations such as the focus on a specific grape variety and regions, the absence of performance impact analysis and the need for additional variables like environmental, institutional and cultural factors and consumer preferences to provide a comprehensive understanding of industry dynamics. Practical implications The insights from this study offer practical implications for winemakers, industry stakeholders and policymakers. Producers can optimize production and marketing strategies based on regional contexts and market segments, whereas stakeholders can identify emerging trends and opportunities in the global wine market. Policymakers can develop targeted policies supporting innovation, sustainability and competitiveness. Originality/value This paper provides a unique contribution by conducting a comparative firm-level analysis across distinct wine-producing regions, shedding light on the nuanced interplay of factors shaping competitive advantage among Pinot Noir producers. This study’s comprehensive data set and methodological approach enhance understanding and offer valuable insights for industry stakeholders and policymakers.