Bordeaux Wines Research Articles

Relationships between consumption of alcoholic beverages and healthy foods: the French supermarket cohort of 196,000 subjects

Moderate alcohol consumption is associated with reduced risk of cardiovascular disease. Related dietary habits and lifestyle may bias assessment of the relationship between alcohol intake and health status. We examined the relationship between key features relating to the consumption of alcoholic beverages and individual profiles of objective food purchases. Data were collected on regular clients of a large supermarket chain implanted across France (n = 196,604). Food items purchased were classified into three categories: (1) healthy foods; (2) unhealthy foods; and (3) others. Wine consumers favoured purchase of healthy foods more often than others, whereas the lowest level of healthy food purchasers was associated with consumption of beer and aniseed-based beverages. Bordeaux wine purchasers spent less in their average budget than the whole population for nine out of the 11 unhealthy food categories. Conversely, the budget was markedly higher in non-alcohol purchasers as compared to the whole population for seven out of the 11 unhealthy foods. The ratio of the budget for healthy to that for unhealthy foods was also distinct between the groups, being highest for wine and lowest for beer. In the subgroup of non-alcohol consumers, this ratio was intermediate but significantly lower relative to values in the five subcategories of wine purchasers. Marked differences in the profile of the purchase of healthy versus unhealthy food products as a function of the subcategory of alcoholic beverage consumed were documented, revealing a critical unidentified confounding feature in analyses of the potential relationship between alcohol consumption and protection against cardiovascular disease.

The Demand for Expert Opinion: Bordeaux Wine

AbstractIn this paper, we use unique data from the market for Bordeaux wine to test the hypothesis that consumers are willing to pay for expert opinion because it is accurate. Using proprietary indicators of the quality of the vintage, which are based on both publicly and privately available information, we find that additional publicly available information on the weather improves the expert's predictions of subsequent prices. This establishes that the expert opinions are not efficient, in the sense that they can be easily improved, and that these opinions must be demanded, at least in part, for some purpose other than their accuracy. (JEL Classification: D8, Q13)

Sharon L. Stein, MD, FACS

Dr. Sharon L. Stein is an Associate Professor of Surgery, Division of Colon and Rectal Surgery at University Hospital Case Medical Center, Cleveland, Ohio, and Associate Program Director in the General Surgery Residency at Case Western in Cleveland. Sharon was born in New York, and attended the University of Michigan, Ann Arbor, where she received a degree in history followed by a postbaccalaureate year at the University of Colorado in Denver. She subsequently received her medical degree from the University of Colorado in Denver. Her general surgery residency was performed at Massachusetts General Hospital followed by colorectal training at New York Presbyterian Hospitals of Cornell and Columbia, New York, NY. After her colorectal training, Sharon spent 6 months as a surgeon with Doctors without Borders in South Sudan and returned to work with Doctors without Borders in 2010 after the earthquake in Haiti. She worked at New York Presbyterian Hospital as an Assistant Professor of Surgery until 2009, when she joined Case Western. Her additional duties include serving as Surgical Director of the Inflammatory Bowel Disease Center and the Case Acute Intestinal Failure Unit at Case Western. Sharon is certified by the American Board of Surgery and Colon and Rectal Surgery. Sharon is an active clinician and manages a variety of patients with diverse postoperative needs. She teaches students and residents on a daily basis. She is an active participant in multiple surgical societies including the Society for Surgery of the Alimentary Tract, Society of American Gastrointestinal and Endoscopic Surgeons, American Society of Colon and Rectal Surgeons (ASCRS), and council member of Association of Women Surgeons. In the ASCRS, Sharon chairs the Young Surgeons' Committee. Sharon has directed a number of courses on laparoscopy, education, and career development. Dr. Stein is an active researcher and is the principal investigator for several ongoing funded trials. Sharon's contributions to the medical literature includes 31 peer-reviewed manuscripts and 17 book chapters. She has presented multiple invited lectureships both in the United States and abroad and made multiple presentations at national meetings. Sharon, her husband Siva, and daughter Mimi live in Cleveland. When not working, Sharon enjoys spending time with her family, yoga, and drinking fine Bordeaux wine. Postoperative management is performed by all colon and rectal surgeons and over the years, many components have been altered. Improvements have resulted from new technologies and drugs as well as subjecting “traditional practices” to the rigors of controlled trials and evidence-based reviews. Sharon and her colleagues have produced a superb and enjoyable issue covering several important aspects of postoperative management. On behalf of the readers and staff of Clinics in Colon and Rectal Surgery, I sincerely thank Dr. Stein for serving as the Guest Editor and her contributors for their efforts.

Does storytelling add value to fine Bordeaux wines?

PurposeThe purpose of this paper is to understand if the use of a vineyard's storytelling helps to better understand the position of each vintage in a niche and luxury market. Two main objectives structure this article: discovering what criteria constitutes the narratives of corporate communications of the Grand Crus market on the first hand and to studying the positioning of the different communications styles depending on the designation of origin on the other hand. MethodologyThe methodology of this research is based on a lexicographic analysis of the corporate communications of the 132 chateaux members of the Union des Grands Crus. FindingsThe results show that 13 components form the basis of the narratives. According to the appellations of origin, four main styles of communication can be identified. The research also shows a link between the price level of the wine and the style of the corporate storytelling. Originality/valueThere has been a strong increase in the price of Grands Crus from Bordeaux in recent years. The price increase is not explained by the objective value of these products but rather their symbolic position and image evoked of a world of luxury. Moreover, it seems that these images generate little differentiation among wine brands, while they all claim that they are unique.

THE 2012 LAWRENCE R. KLEIN LECTURE: BUBBLES IN PRICES OF EXHAUSTIBLE RESOURCES*

This article proposes a test for the presence of a bubble in the price of an exhaustible resource. A bubble is accompanied by a rise in the storage‐to‐consumption ratio: Consumption peters out, and a fraction of the original stock is held forever. The test suggests there is a bubble in the price of oil and in the market for high‐end Bordeaux wines, but other explanations are also possible. A bubble reduces welfare regardless of whether there are other stores of value, particularly fiat money.

A Graphical and Statistical Analysis of the Judgment of Princeton Wine Tasting

AbstractThe wine ratings from the a wine tasting comparing wines from a young wine region, New Jersey, to wines from Bordeaux was held June 8, 2012 in Princeton, NJ. Graphical analysis revealed substantial differences in the use of the rating scale between judges, both in the centroids of their scores and the variability in their scores. Analysis of variance failed to detect any significant differences in the white wines regardless of data transformation or statistical model. Analysis of raw data from the red wines suggested significant differences, but severely violated ANOVA model assumptions and was invalid. Rank transformation, standardization, a model with heterogeneous variances, and Friedman's test all indicated no significant differences among red wines. Based on the confidence interval on the difference between all New Jersey and all Bordeaux wines in each flight it was estimated that differences larger than 1.5 on the 20-point scale would have been declared significantly different for either white or red wines. Therefore, the tasting was powerful enough that any meaningful differences between the wines from the two origins would have been detected. (JEL Classification: C19, Q19)

Predicting presidential elections and other things

What do the following events have in common? In 2000, the election between George W. Bush and Al Gore was a virtual tie. The 1989 and 1990 vintages have turned out to be two of the best ever for Bordeaux wines. In 2001, the Federal Reserve lowered the interest rate eleven times. The decade of the 1970s was one of the worst on record for U.S. inflation. In 2001, the author of this book, at age 59, ran a marathon in 3 hours and 30 minutes, but should have been able to do it in 3 hours and 15 minutes. This book shows clearly and simply how these diverse events can be explained by using the tools of the social sciences and statistics. It moves from a discussion of formulating theories about real world phenomena to lessons on how to analyze data, test theories, and make predictions. Through the use of a rich array of examples, the book demonstrates the power and range of social science and statistical methods. In addition to topics-presidential elections, Federal Reserve behavior, and inflation-and not quite so big topics-wine quality-the book takes on questions of more direct, personal interest. Who of your friends is most likely to have an extramarital affair? How important is class attendance for academic performance in college? How fast can you expect to run a race or perform some physical task at age 55, given your time at age 30? (In other words, how fast are you slowing down?) As the author works his way through an incredibly broad range of questions and topics, demonstrating the usefulness of statistical theory and method, he gives the reader a new way of thinking about many age-old concerns in public and private life.

Wine labelling: is it time to break with tradition? A study of the moderating role of perceived risk

PurposeThe purpose of this paper is to study the impact of the level of perceived atypicality in a wine label's design on the consumer's aesthetic appreciation and purchase intent. Furthermore, it intends to highlight the moderating role of perceived risk in the relationship between these three variables.Design/methodology/approachFour Bordeaux wine labels providing the same information but with different designs are tested on a sample of 166 individuals. The respondents evaluate the labels in terms of perceived typicality and aesthetic appreciation. They are then asked to indicate what their purchase intentions would be for each label in respect of five different consumption occasions.FindingsThe results indicate a strong preference for the most typical label. However, this preference decreases when the perceived risk associated with the consumption occasion also decreases. For those consumption occasions perceived as less risky, the respondents seem more willing to choose labels with a moderately atypical design.Originality/valueThis research provides some answers to a problem recently raised with representatives of the wine industry: given that consumers seem to prefer traditional labelling, to what extent is it possible to differentiate a product in terms of design? The authors' results indicate that the acceptance of atypical designs is linked to the level of perceived risk at the moment of purchase. A brand that targets consumption occasions that are perceived as only slightly risky will therefore more easily be able to depart from the visual codes of its product category.

Is Wine a Premier CRU Investment?

We investigate the case for Bordeaux and Rhone wine as an investment. The raw data analysed comprises of approx. 335,000 observations of wine sales prices and is analysed using the repeat sales regression method. General Red Bordeaux and Rhone wine indices are constructed for the period January 1996 - January 2007, which are compared with each other , with the Dow Jones Industrial Average (DJIA), and with a number of wine funds and finally with the the Liv-Ex Fine Wine 100 (FW100) Index. The findings suggest that Rhone and Bordeaux wines can provide average returns in excess of risk-free investments with lower risk at index level. Individual wines and sub-regions carry higher risk than the general indices with varying return levels and so direct investment in such wine by inexperienced, low volume or individual investors carries a high level of risk. Returns on indirect investment via wine funds vary, however all average returns of funds analysed exceed the general Rhone and Bordeaux Index in this research. Volatility for some wine funds was particularly high and may not suit risk-averse investors.

Bordeaux Wines: An Archetypal Terroir Cluster?

The object of the present article is to use the example of the cluster concerning Bordeaux wines to show that the opposition between the porterian brand cluster and the terroir based cluster is simplistic. We intend to reveal how the Bordeaux wine cluster, reputed for being the archetypal terroir based cluster, derives from each dimension. First, if this cluster was historically built around a strong territorial identity, this is not the only definition of the traditional Bordeaux model. Second, during the nineties, this model was subject to a lot of internal and external tension, linked in particular to its difficulties to face shifts in the international wine market. Considerable transformations have already been taken on: they combine the reassertion of the reference to terroir with the renewed dimensions of innovation and competitiveness.

Bordeaux Natural Wines in the Japanese Market: Analysis of Supply Chain System Indolence

Since about 2005 the interest in natural wines has been increasing in the world wine market and in Japan in particular. However, Bordeaux natural wines have been facing challenges on the market, partly due to supply chain problems. Our work focuses on understanding the role and interactions of major actors of the Bordeaux wine scene and of natural wine distribution in Japan. Our study has a double purpose: to model the natural wines supply chain model for Japan and identify the barriers and driving forces of natural wine companies in the Bordeaux region and their supply chain challenges in Japan. The research methodology employs a content analysis and critical incidences approach. A supply chain model from the Bordeaux natural wine supplier to the Japanese natural wine consumer is presented. Our findings show the strong heterogeneity in the Bordeaux natural wine production sector and considerable differences in supply chain solutions, which only partly depend on the core competencies of the actors. The practical implementation of these results is discussed.

Reconsidering the 1855 Bordeaux Classification of the Médoc and Graves using Wine Ratings from 1970–2005

AbstractThis paper examines ratings of Bordeaux wines from vintages spanning 1970 to 2005. We use ratings from three popular rating sources – Robert Parker (The Wine Advocate), Stephen Tanzer (International Wine Cellar), and Wine Spectator – to examine differences and consistencies in ratings. Our study is based on over 3, 100 ratings for château/vintage/rater combinations for the “classified growths” as identified in the 1855 Classification. We developed a regression model with rating scores as the depending variable and independent variables for raters, vintages, châteaux and rater-vintage. This model explains 64.6% of the variation in rating scores. We identify the performance of individual châteaux and use our findings to propose an update to the 1885 classification. Based on the ratings we examined, more than half of the 61 classified growths are misclassified, with some châteaux moving as many as three tiers upward or downward compared to the historical classification. While we believe it is unlikely that the classification will be changed, we believe that our proposed classification update (and our rank-ordering of the châteaux, particularly in relation to price-based orderings) can help guide wine purchase decisions of consumers and the restaurant industry. (JEL Classification: L66, C22, Q12, L10)

Chemical and sensory evaluation of Bordeaux wines (Cabernet-Sauvignon and Merlot) and correlation with wine age

Wine quality study was carried out with 24 vintages of Cabernet-Sauvignon (CS) and 7 vintages of Merlot (M) produced by two different Bordeaux wine-growing areas. Proanthocyanidin monomers and oligomers were identified and quantified by HPLC-UV-Fluo. Percentage of galloylation (%G), of prodelphinidins (%P) as well as mean degree of polymerisation (mDP) were also determined. Total phenolic compounds, total anthocyanins, total tannins, hue, CI (colour intensity), titratable acidity, ethanol level and pH were evaluated. Sensory analysis concerning astringency and bitterness intensity was also performed. Total phenolic compounds, total anthocyanins, total tannins, tannin monomers, hue, CI, % G, % P, mDP and astringency intensity differentiate both wines (M and CS) according to vintage. Correlations between wine age and: mDP, hue, astringency and tannin monomers (C+EC) are obtained. Qualitative tannin characterisation is established by correlation between astringency and mDP (R2=0.509, p=0.051, CS; R2=0.780, p=0.000M). In addition, mDP decreases significantly during ageing (R2=0.796, p=0.000; CS and R2=0.946, p=0.000; M). Scale patterns between wine mDP and tannin perception (astringency) are proposed.

Collective Reputation Effects: An Empirical Appraisal

This paper is an attempt to shed some empirical light on image linkages that exist between a collective umbrella brand and its related individual components. To tackle this issue, we estimate an interaction model in which a single collective reputation both determines and is determined by a series of individual reputations a la Tirole (1996). From an application to Bordeaux wines using detailed survey data collected in seven European countries, we get positive and significant spillover effects from the umbrella reputation (Bordeaux) which are found to increase with the individual reputation level of the wine. Controlling for the natural endogene ity of collective reputation in this setup, allows to capture the important fact that this relationship is

La signature œnologique: frontières et transferts de réputation chez les consultants vitivinicoles

The category of consultants provides a convenient way to describe how work is organized in the Bordeaux wines classified as grands crus and, also, to study theoretical questions such as the relation between individual and organizational reputations or the incorporation of symbolic assets. Following a presentation of consultancy in the wine industry, questions arise about how the “oenological signature” enters into the operation of the labor market for consultants. This signature, while it is a source of reputation that can be transferred to producer organizations, is an asset that consultants have difficulty assuming because of the importance of the soil and vintage in the making of reputations in the wine industry.

Soils, rootstocks and grapevine varieties in prestigious Bordeaux vineyards and their impact on yield and quality

<p style="text-align: justify;"><strong>Aims</strong>: To study the impact of soil-type, grapevine variety and rootstock on grape yield and wine quality in prestigious estates located in the Bordeaux area (France).</p><p style="text-align: justify;"><strong>Methods and results</strong>: High-resolution soil maps (scale: 1/3000<sup>th</sup>) were created for seven prestigious red wine-producing estates in Bordeaux, covering a total area of approximately 400 ha. Soil-type, rootstocks and grapevine varieties were recorded for each vineyard block. A Quality Index was created by considering the destination of the grapes produced in each block, whether they were integrated in the first, the second or the third quality wine produced by the estate. Quality Index was averaged over five vintages. Yield was also measured for each vineyard block and averaged over five vintages. PEYROSOL (gravelly soil) was the most frequent soiltype in these estates (45% of the total mapped area). Soils with temporary waterlogging (REDOXISOL), heavy clay soils (PLANOSOL) and sandygravelly soils (BRUNISOL) covered around 10% of the mapped area each. Highest quality was obtained on PLANOSOLS, ARENOSOLS (sandy soils), BRUNISOLS and PEYROSOLS. Quality was low on COLLUVIOSOLS (deep soils on colluvium), LUVISOLS (leached acidic soils) and REDUCTISOLS (soils with permanent waterlogging). Cabernet- Sauvignon was the dominant grapevine variety (59% of the mapped area), followed by Merlot (32%), Cabernet franc (8%) and Petit Verdot (1%). On average, the Quality Index was higher for Cabernet-Sauvignon and Merlot compared with Cabernet franc and Petit Verdot. Riparia Gloire de Montpellier (RGM) was by far the most used rootstock. It covered 45% of the mapped area. Including 3309C and 420A, these three rootstocks covered 75% of the total acreage planted in these estates. Highest quality wine was produced with 420A, RGM, 3309C and Gravesac. Highest yields were obtained with 161-49C, 101-14 MG, RGM, SO4 and 420A.</p><p style="text-align: justify;"><strong>Conclusions</strong>: Soil, grapevine variety and rootstock have a major impact on yield and wine quality in prestigious Bordeaux wine producing estates.</p><p style="text-align: justify;"><strong>Significance and impact of the study</strong>: Assessment of a Quality Index by soil-type, cultivar and rootstock can indicate which combinations of soiltype, cultivar and rootstock would best optimise quality performance in Bordeaux vineyards.</p>

Chemical characterisation and sensory evaluation of Bordeaux wines. Correlation with wine age

Chemical characterisation and sensory evaluation of Bordeaux wines. Correlation with wine age

Who Killed the WINEFEX?: Autopsy of the Bordeaux Wine Futures Contract

Euronext’s September 2001 launch of the WINEFEX Bordeaux wine futures market quickly turned into a complete fiasco. The purpose of the present study is to analyse the reasons for this failure, the responsibilities of the various actors involved and the effects that this half-baked attempt to wed fine wine and market finance will have in the future. We will ultimately come up with three conclusions: the first will focus on what was an exceptional conjunction of technical errors and bad luck; the second clearly specifies Euronext’s responsibility in this affair; and the third discusses the pessimistic outlook for a viable wine futures market. The original error clearly lies in the technical characteristics of the contract such as it was defined by Euronext. The small face value and the fixed conversion factor between the various grades of deliverable wine largely explains the lack of interest by the three actors who are indispensable to the success of a futures market: branch professionals; speculators; and arbitragers. A second type of error relates to Euronext’s approach. At first, this exchange company misjudged the underlying asset’s volatility (and to be specific the exogenous elements that can cause variations in Bordeaux wine prices in general and in grand cru prices in particular). Even more surprisingly, Euronext executives then totally ignored objections coming out of Bordeaux regarding the WINEFEX’s feasibility. Finally, the third type of error relates to the contract’s launch calendar. Although no one could have predicted the events of 11 September (nor their impact on a contract that had initially been planned for 14 September), the history of futures markets has long taught us that the best time to launch a contract is when a bull market is just at its outset. And yet, a long-term analysis of Bordeaux price cycles already indicated back in early 2001 that the underlying product was coming to the end of its upwards cycle. The WINEFEX’s failure is likely to have two kinds of consequences for years to come: it will undermine the launch of any similar contract, mothballing all plans for wine futures, regardless of their particularities; and it also will force everyone to cogitate over the quasi-ontological general question of whether wines are basically soluble with market finance, and more specifically, whether a grand cru can be wed to a futures markets. “A market is a success when it appeals to investors, speculators and arbitragists all at the same time”. J.M.KEYNES

Olfactory specificity of red- and black-berry fruit aromas in red wines and contribution to the red Bordeaux wine concept

<p style="text-align: justify;"><strong>Aims</strong>: The first aim of this investigation was to determine whether red- and black-berry fruit aromas were specific to red wines. The second aim was to study their contribution to the red Bordeaux wine concept.</p><p style="text-align: justify;"><strong>Methods and results</strong>: In experiment 1, red wines were presented to expert assessors in dark, then in clear glasses. Assessors selected wines where they detected specific red-/black-berry aromas and then rated the perceived intensity. Results showed a statistically significant impact of visual input on both detection and intensity rating of red-/black-berry aromas in red wines. As part of experiment 2, both red and white wines were rated using dark glasses only. Globally, red-/black-berry aromas were shown to be more specific to red wines. Finally, in experiment 3, red Bordeaux wine experts assessed the degree to which 21 wines (9 red Bordeaux wines, 8 red wines of various origins and 4 white wines) corresponded to their own red Bordeaux wine concept, and then evaluated the intensity of 4 fruity descriptors they had detected in these wines. The results revealed that the expert assessors shared coherent olfactory concepts of red Bordeaux wines, which enabled them to distinguish the red Bordeaux from the other wines presented.</p><p style="text-align: justify;"><strong>Conclusions</strong>: The existence of a red-/black-berry character specific to red wines was demonstrated. Moreover, it was shown for the first time that red Bordeaux wines tend to have their own sensory space. The distinctive character of these wines was found to relate to « black-berry » and « jammy fruit » olfactory descriptors.</p><p style="text-align: justify;"><strong>Significance and impact of the study</strong>: This study clarified our knowledge of the fruity olfactory descriptors specific to red wines in general and red Bordeaux wines in particular.</p>

Predicting the Quality and Prices of Bordeaux Wine

AbstractBordeaux wines have been made in much the same way for centuries. This article shows that the variability in the quality and prices of Bordeaux vintages is predicted by the weather that created the grapes. The price equation provides a measure of the real rate of return to holding wines (about 2–3% per annum) and implies far greater variability in the early or ‘en primeur’ wine prices than is observed. The analysis provides a useful basis for assessing market inefficiency, the effect of climate change on the wine industry and the role of expert opinion in determining wine prices. (JEL Classification: D43, Q11)