World Perspectives

Self-Punishment; Easy Solution; Back to the Flame

Self-Punishment China has made its punitive 200 percent tariff on Australian wines permanent for the next five years. The tariff is not import protection for nascent Chinese winemakers but political punishment imposed on Canberra. However, it is concurrently punishment imposed on Chinese consumers. While the French produce an average of 73 liters per capita of wine each year, China struggles to produce 1.3 liters per citizen.  The Chinese consumer may not whine about it, and instead increase consumption of Baijiu, but that is a sacrifice to the taste buds next to a fine McGuigan or Penfolds. The move should make Australian wines less expensive to the rest of the world, and can thank Beijing for Chinese sacrifices.  Easy Solution...

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Weighing in on strategic realignment

WPI’s team was retained by the governing board of a U.S. industry organization to review a decision, reached by vote, to invest significant assets into the development and management of an export trading company. WPI’s team conducted a formal review of this decision and concluded that the current level of market saturation would limit the benefits of the investment. Based on WPI’s analysis and recommended actions, the board subsequently reversed its decision and undertook a strategic planning effort to identify more impactful investments. On behalf of numerous clients, WPI has not only assisted in identifying strategic paths but also advised their implementation.

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