2021: Just Accepted
Original Research Article

Micro-Wineries as drivers for local economic development and innovation in lagging areas: The case of Mediterranean regions

Giuseppe Cantafio
University of Sunderland
Luana Parisi
University of East London
Published March 1, 2021
Keywords
  • Wine,
  • Microwineries,
  • SMEs,
  • Innovation,
  • Economic Growth,
  • Business
  • ...More
    Less
How to Cite
Cantafio, G., & Parisi, L. (2021). Micro-Wineries as drivers for local economic development and innovation in lagging areas. Wine Economics and Policy. https://doi.org/10.36253/wep-8194

Abstract

For a long time mainstream economics has neglected the non-economic side related to economic growth. Yet, today there is increasing awareness of the role that social capital can play in spurring Local Economic Development especially in underdeveloped, remote, or lagging contexts. Micro-wineries represent a good example of SMEs, being small realities serving the local markets and spaces that strengthen local communities.

The European Mediterranean regions have commonly been connected with these sectors. This study aims at pushing the body of knowledge in the development of micro-wineries in the lagging-behind contexts of Southern Europe, particularly in Southern Italy.

To support the discussion, the present study will adopt a deductive approach, by analysing the San Diego wine cluster taken as a case study, since its wine market recently boomed. Findings will highlight the microwineries symbiosis with the territory itself. Useful lessons will be drawn for encouraging policymakers in undertaking actions towards strengthening the potential of microwineries and building networks among them.

References

• BBSR (2016). BBSR Homepage - Spatial development in Europe - Where the population in Europe is growing or shrinking. [online] Bbsr.bund.de. Available at: https://www.bbsr.bund.de/BBSR/EN/SpatialDevelopment/SpatialDevelopmentEurope/AnalysesSpatialDevelopment/Projects/PopulationDevelopment/population-development.html [Accessed 30 May 2018].
• Bastian, C.T., Oakley-Simpson, D.M., McLeod, D.M., Menklaus, D.J., Alsup, D., Ogden, J. and Whipple, G.D. (1999), “Niche market potential: the case of the US craft brewing industry”, Review of Agricultural Economics, Vol. 21 No. 2, pp. 552-562.
• Briedenhann, J., & Wickens, E. (2004). Tourism routes as a tool for the economic development of rural areas: Vibrant hope or impossible dream? Tourism Management, 25(1), 71–79.
• Cantafio, G.U. (2017). “Merging Economic Development with Clusters Theory and Environmental Sustainability” (unpublished PhD thesis), Reggio Calabria, Università degli Studi di Reggio Calabria Mediterranea.
• Censis. (2013). Rapporto sulla situazione sociale del paese. Angeli.
• Contò, F., Fiore, M., Vrontis, D., & Silvestri, R. (2015). Innovative marketing behaviour determinants in wine SMEs: The case of an Italian wine region. International Journal of Globalisation and Small Business, 7(2), 107–124
• Das, S., & Finne, H. (2008). Innovation and co-location. Spatial Economic Analysis, 3(2), 159-194.
• Duarte Alonso, A., & Bressan, A. (2015). Resilience in the context of Italian micro and small wineries: an empirical study. International Journal of Wine Business Research, 27(1), 40-60.
• Duarte Alonso, A., Bressan, A., & Sakellarios, N. (2017). Exploring innovation perceptions and practices among micro and small craft breweries: A three-country study. International Journal of Wine Business Research, 29(2), 140-158.
• European Union Commission. (2003). Commission recommendation of 6 May 2003 concerning the definition of micro, small and medium-sized enterprises. Official Journal of the European Union, 46, 36-41.
• European Commission (2013), “Fact and figures about the EU’s small and medium enterprise (SME)”, available at: http://ec.europa.eu/enterprise/policies/sme/facts-figures-analysis/index_en.htm
• European Commission (2015a). Demography report. [online] Available at: http://ec.europa.eu/eurostat/documents/3217494/6917833/KE-BM-15-003-EN-N.pdf/76dac490-9176-47bc-80d9-029e1d967af6 [Accessed 25 May 2018].
• European Commission (2015b), “Supporting entrepreneurs and self-employed – Microfinance”, available at: http://ec.europa.eu/social/main.jsp?catId=952&intPageId=3510&langId=en
• European Union (2016). Urban Europe Statistics on cities, towns and suburbs. Statistical Book, Eurostat. [ebook] Luxembourg: Publications office of the European Union. Available at: http://ec.europa.eu/eurostat/documents/3217494/7596823/KS-01-16-691-EN-N.pdf/0abf140c-ccc7-4a7f-b236-682effcde10f [Accessed 30 May 2018].
• Eurostat. (2018). Unemployment by sex and age - annual average. [online] Available at: http://appsso.eurostat.ec.europa.eu/nui/submitViewTableAction.do [Accessed 31 May 2018].
• Foray, D., David, P. and Hall, B. (2011): Smart Specialisation: From academic idea to political instrument, the surprising career of a concept and the difficulties involved in its implementation, MTEI Working Paper 2011-001, EPFL, Lausanne.
• Foray, D. (2015) Smart Specialisation: Challenges and Opportunities for Regional Innovation Policies, Routledge.
• García, F., Meraz, R., & Díaz, G. (2018). Wine tourism and wine marketing in family-owned micro wineries in Guadalupe Valley, Mexico. Rosa dos Ventos, 10(4), 690-711.
• Godin, B. (2008). Innovation: the History of a Category. Project on the Intellectual History of Innovation Working Paper, 1.
• Goncharuk, A.G. (2017). The Challenges of Wine Business in Research. Journal of Applied Management and Investments, 6(4), pp.253-259.
• Gunasekaran, A. , Rai, B.K. and Griffin, M. (2011), “Resilience and competitiveness of small and medium size enterprises: an empirical research”, International Journal of Production Research , Vol. 49 No. 18, pp. 5489-55
• Hall, C. M., & Mitchell, R. (2000). Wine tourism in the Mediterranean: A tool for restructuring and development. Thunderbird International Business Review, 42(4), 445-465.
• Hausmann, R., Rodrik, D., 2003. Economic development as self-discovery. Journal of Development Economics 72, 603–633.
• Interreg Europe. (2019a). INNOGROW. [online] Available at: https://www.interregeurope.eu/innogrow/ [Accessed 18 Jan. 2019].
• Interreg Europe. (2019b). RuralGrowth. [online] Available at: https://www.interregeurope.eu/ruralgrowth/ [Accessed 18 Jan. 2019].
• Ismail, H.S., Poolton, J. and Sharifi, H. (2011). “The role of agile strategic capabilities in achieving resilience in manufacturing-based small companies”, International Journal of Production Research , Vol. 49 No. 18, pp. 5469-5487
• Kumar, R., (2019). Research methodology: A step-by-step guide for beginners. Sage Publications Limited.
• Legambiente (2017). ECOSISTEMA URBANO XXII Rapporto sulla qualità ambientale dei comuni capoluogo di provincia. [online] Available at: https://www.legambiente.it/sites/default/files/docs/ecosistema_urbano_2017_dossier.pdf [Accessed 31 May 2018].
• Mahroum, S., Atterton, J., Ward, N., Williams, A., Naylor, R., Hindle, R. and Rowe, F. (2019). Rural Innovation. 1st ed. [ebook] Nesta, p.6. Available at: https://media.nesta.org.uk/documents/rural_innovation.pdf [Accessed 18 Jan. 2019].
• Metcalfe, J.S. (1998) Evolutionary Economics and Creative Destruction. London and New York: Routledge.
• OECD (2016), OECD Regions at a Glance 2016, OECD Publishing, Paris. Available at: http://dx.doi.org/10.1787/reg_glance- 2016-en.
• Olcay, J.A. & Bulu, M. (2016) Technoparks and Technology Transfer Offices as Drivers of an Innovation Economy: Lessons from Istanbul's Innovation Spaces, Journal of Urban Technology, 23:1, 71-93, DOI: 10.1080/10630732.2015.1090195
• Parisi, L. (2017). “Creative and Cultural Industries within Port Environments: a Smart Specialisation Strategy for Southern Italy” (unpublished PhD thesis), Reggio Calabria, Università degli Studi di Reggio Calabria Mediterranea.
• Pellicanò, A., & De Luca, A. I. (2016). Dynamics, motivations and barriers in internationalisation processes of wineries in Calabria. Journal of wine research, 27(4), 257-283.
• Porter, M. E., & Bond, G. C. (2004). The California wine cluster. Boston, MA: Harvard Business School.
• Plummer, R., Telfer, D., Hashimoto, A., & Summers, R. (2005). Beer tourism in Canada along the Waterloo-Wellington Ale Trail. Tourism Management, 26(3), 447–458.
• Rose, R. (1991). What is lesson-drawing? Glasgow: Centre for the Study of Public Policy.
• Rossi, M., Vrontis, D. and Thrassou, A. (2012), “Wine business in a changing competitive environment – strategic and financial choices of Campania wine firms”, International Journal of Business and Globalization , Vol. 8 No. 1, pp. 112-130.
• Royal Agricultural University. (2019). Rural Innovation Centre. [online] Available at: https://www.rau.ac.uk/about/farms/rural-innovation-centre [Accessed 16 Jan. 2019].
• Spreitzer, G., Bacevice, P., & Garrett, L. (2015). Why People Thrive in Coworking Spaces. Harvard Business Review, 93(7), 28-30.
• Stone, Z. (2013, January 25). Inside The World’s First “Brewery Incubator”. Available at: https://www.fastcompany.com/1681215/inside-the-worlds-first-brewery-incubator.
• Schumpeter, J. (1942). Creative destruction. Capitalism, socialism and democracy, 82-5.
• Sellers, R., & Alampi-Sottini, V. (2016). The influence of size on winery performance: Evidence from italy. Wine Economics and Policy, 5(1), 33-41.
• Sweezy, P. M. (1943). Professor Schumpeter's theory of innovation. The review of economic statistics, 93-96.
• U.S. Cluster Mapping (2019). Available at: http://www.clustermapping.us (Accessed: 17 February 2019).
• Wine Institute (2016), “World wine production by country: 2013-2015 and % change 2015/2013”, available at: http://www.wineinstitute.org/files/World_Wine_Production_by_Country_2015.pdf
• Xu, S., Leung, Y. F., & Barbieri, C. (2016). Characterizing themed touring routes: a geospatial and tourism evaluation of wine trails. Tourism Planning & Development, 13(2), 168-184.
• Yin, R. K. (2009). Case study research: Design and method (4th ed.). Sage: London.
• Yigitcanlar, S. & Bulu, M. (2016) Urban Knowledge and Innovation Spaces, Journal of Urban Technology, 23:1,1-9, DOI: 10.1080/10630732.2016.1164443