Sustainable agriculture: profile and strategies of Argentine wineries

Purpose The article aims to show the relationship between agricultural sustainability practices and the competitive strategies of Argentine wineries. It presents the strategic decisions, resources and capabilities of those Argentine wineries performing a sustainable agricultural approach. Design/methodology/approach Wineries in all wine regions of Argentina were surveyed to assess the interaction between wineries’ dynamics and characteristics, as well as their business and agronomical practices. The dataset accounts for 204 wineries, a representative sample of Argentinean wineries. We developed an agricultural index representing the degree of application of sustainable practices of an Argentine winery based on answers related to two items from the production phase: soil maintenance and phytosanitary protection. We then relate the index to exogenous explanatory variables in terms of business practices: resources and capabilities (price, income from other activities, technological resources, human resources and export activities) and Robinson and Pearce's competitive strategies (innovation strategy, marketing strategy, strategy efficiency and service strategy). A microeconometric model is proposed since it best fits this research’s objective and data type, specifically a logit/probit model. Findings The results show that wineries in Argentina performing agricultural sustainability practices have more technological and human resources and implement innovative product strategies. However, the results also show that wineries that receive more than 50% of their income from other activities do not show much concern about agronomical sustainability practices. Originality/value Wineries in Argentina that address objectives to reduce agricultural and environmental impact have more technological and human resources. Innovative wineries from Argentina that perform these sustainable agricultural practices develop a competitive advantage that shows consumers these sustainable agricultural practices worldwide as a differentiator. This attribute makes them different and helps them cope with their demands. The article delves into these new practices that are now reaching Argentina after being established in Europe for many years.