Cooperation and Networks in Small Wineries: A Case Study of Rutherglen, Australia

Abstract

Due to the high resource costs and global competitiveness of the wine industry it is important for businesses to cooperate and form networks. This is especially crucial for the sustainability and growth of small wineries that compete based on the quality and reputation of their products. This chapter will focus on the cooperation and networks of wine producers in the Rutherglen area of Australia. The small business strategies of the wineries in this area will be discussed in terms of family businesses, newcomers, and investment partners. The belief in coopetition for small wineries will be explained and how this has resulted in the region being at the forefront of the Australian wine industry. The spirit of innovation in the small wineries business strategy will be explored by taking a case study approach focusing on Campbell’s Wines, one of the oldest family owned wineries in Rutherglen. Suggestions for future innovation based on small business strategies will be discussed.