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Unsuccessful responses to quality uncertainty: Brands in Spain's sherry industry, 1920-1990

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  • Eva Fernandez

Abstract

This article argues that exporters' brands were an unsuccessful response to the problems of selling sherry in the British market caused by quality uncertainty. Sherry exporters' brands were unable to sustain their reputation and price advantage. The sale of sherry-type wines increased substantially after World War II to account for 50% of the British market, but exporters failed to take legal action against them. The inelastic supply of wines in Jerez in the short run, which caused difficulties in meeting the increasing demand for sherry, explains the sale of cheap sherries by exporters as well as their acquiescence of the use of the word 'sherry' by imitators.

Suggested Citation

  • Eva Fernandez, 2010. "Unsuccessful responses to quality uncertainty: Brands in Spain's sherry industry, 1920-1990," Business History, Taylor & Francis Journals, vol. 52(1), pages 100-119.
    • Handle: RePEc:taf:bushst:v:52:y:2010:i:1:p:100-119
    DOI: 10.1080/00076790903469638
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