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It is very hard to create luxury wine in the middle of nowhere so the price of land is big factor in cost of wines in premium and luxury segment. 1 hectare of g

• buran77 6y ago
  I'm sure all that is true. That's exactly why competition is so strong in the low end and why it's a race to the bottom for quality and price. The most accessible ways of making a product cheaper are mass production, and replacing the expensive components with something you can mass produce cheaply. The bar for entry at the high end is impossibly high. And those who are already up there have to offer something that cannot be cheaply obtained. A unique natural taste, the image (and protected brand), tradition, etc. On the other end of the spectrum you have the cheap wines that have no choice but to try to replicate some of that by artificial means while competing with an almost literal flood of competition doing the exact same. The target there is to stay as cheap as humanly possible while minimally meeting regulation in the food sector, and offering wine-like taste. See the wine like a battery. The cheapest and the most expensive ones look the same and might superficially act the same. And they'll certainly feel the same if you just test them with your tongue. They're on the same spectrum of products but there's a reason why they're at different ends.