Factors On Development Of Chinese Wine Sales Industry And Empirical Research

Remarkable achievements of Chinese economic construction has been made sincethe reform and opening up, The comprehensive production capacity and ability to addvalue of agricultural and international competitiveness of product processing industryhas been improved significantly. On the basis of agricultural development, the thestatus quo of low concentration of the Chinese food industry industry acceleratedchange, mergers and acquisitions continue to unfold, the forum of the food industry isto accelerate the integration. Coupled with the consumption upgrading, policies topromote and influx of foreign-funded merger, a number of factors made the Chinesefood industry develop rapidly. which is regards as a great opportunity for Chinese winesales industry that have also gone through noticeable leaps and bounds.Despite thecurrent good background of the overall trendency of Chinese wine industrydevelopment, per capita consumption is eztremely low.Meanwhilethe industrycomplex,uncertain macro and micro environment and the complex maketing featuresarouse widespread concern of the government, the manufacturing and salesenterprise.As of2010, China has become the eighth largest consumer of wine and thetenth largest producer in the world. As to wine of per capita consumption of alcoholconsumption structure, the international average is11%, while only2percent in Chinaless than the former1/5; in per capita consumption of absolute amount, theinternational community is7.5liters. The Chinese people is only0.75liters less thanthe former1/10.In dramatic contrast to China's proliferation of total wine sales in thelevel,the per capita consumption is extraordinarily low. Therefore, it is necessary toanalyze key factors of the formation of deep-seated reasons behind contast and specifyeffect of each factor on the proliferation of wine sales in China.Studing the degree ofinfluence is also a very important aspect.The direction above will certainly be beneficial for our government industry to setup policy based on the domestic industry environment, conducive to the productionand marketing enterprises to develop practical marketing strategy, thus contributing to the popularity of wine products in China, narrowing the gap with the world average.Onthe basis of previous studies. based on innovation diffusion perspective the articlanalyzed of the main factors affecting wine sales of the diffusion rate in China for thefirst time. First of all, from the macroeconomic environment, trade policy environment,micro marketing environment, the competitive industry and alternative products, weexcavated and analyzed specific factors of wine sales and market penetration rate,followed by comparing the more commonly used three basic product diffusionmodel.and then established a modifed model based on the logistic model. finally, weapplied the data of1996-2010China's wine sales and made specific analysis of theimpact of various factors on the diffusion rateds and determined the main factorsaffecting the rate of diffusion. The empirical results showed that: economic growth,changes in consumption structure, the diffusion speed of the falling prices on winesales in China had a significant role in promoting and there is a significantsubstitution effect between domestic liquor, beer and wine. the competitive effect ofthe imported wine continue to strengthen.In terms of industry policy, unlikemanagement approach with the new consumption tax, the implementation of the newGB did not significantly accelerate the rate of diffusion of wine. In addition, the studyalso showed that the expansion of the model to explain the diffusion process of winesales in China better than the original model.