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CORK INDUSTRYTeam Members :Chu Pei YingLoo Jin ChaiYong Pei Yi

Natural CorksPortugal is the major cork-producing nation1990s - Face competition from synthetic plastic closureApplications of Natural Corks

Wine StopperConstruction MaterialsGasketsPros and Cons of Natural Corks

TCA Cork taint that make wine taste mouldy.

Radical InnovationEmergence of Synthetic Corks

Alternative to natural corksRise in demand for synthetic closuresSignificant impact on the cork industryValue Creation

Because of the disadvantages of natural cork which has been mentioned just now, wine manufacturers has been seeking alternative wine stopper with lower risk of TCA taint. The emergence of synthetic corks represents a radical innovation for the natural cork industry. The buying behaviours of consumers contribute to the rise in demand for synthetic cork, causing the Portuguese cork industry to face an environmental and economic disaster. which13

Advantages of Synthetic Corks

Naturally TCA freeUniform in term of qualityRecyclableLower price

Although a synthetic cork is designed to look and function like natural cork but it is naturally TCA free. It eliminates the possibility of corktaint which is caused by natural cork use. Synthetics cork ensure that the quality of wine seal will be consistent from bottle to bottle. Besides that, synthetic cork is recyclable and cheaper than natural cork. Fierce competition between different manufacturer s and economies of scale have brought synthetic cork prices down.4

Disadvantages of Synthetic Corks

Difficult to extract from bottleDifficult to reseal after openingLet in dangerous amounts of oxygen over timeNon-biodegradable

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Dominant DesignArchitectural InnovationNew products synthesised from previous productTechnological evolution

Dominant Design - ScrewcapsUK Stopper with a screwcaps has risen to 85%US 38% of wineries currently use screwcaps compared to only 5% in 2004.Nearly total acceptance in Australia and New Zealand

Improve both technology and visual appealMade up of aluminium capsules and PVDC-free linersEasy to open and storeAvailable in different lengths and styles

Advantage of Screwcaps

Incremental InnovationSmall improvement to an existing product.

Build on upon existing knowledge and resource.

Involve modest technologies changes.

Existing product in market will remain competitive.

Advantage: Lower risk

Disadvantage: Slowness to reach market target.

Incremental InnovationIncremental innovation refers to a series of small improvement to an existing product in order to improve the product features for competitive advantage purpose.It will build on upon existing knowledge and resources within the firm leading to the enhancement of its competencies.

The incremental innovation will involve modest technologies changes and existing products in the market will remain competitive.

The advantages of incremental innovation are lower risk and the possibility of achieving small degrees of growth as compared to radical innovation.

However, the disadvantage compared with radical innovation is the slowness to reach growth targets before competitors, leading to a loss of competitive advantage.

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VinolokGlass stopper with special seal and an aluminium cover cap.

Successful in Germany, Australia and Italy.

Advantage: Oxidation prevention and TCA contamination.

Disadvantage: High Cost

VinolokThe Vinolok system consists of an appealing glass stopper with a special seal and an aluminium cover cap.

This aluminium cap covers and protects the glass stopper and also acts as a seal of authenticity. A shrink capsule can be used in addition to this.

It's a attractive looking closure, and so far it has been very successful in Germany, Austria and more recently, Italy.

The advantages of Vinolok are preventing oxidation and TCA contamination.

Disadvantages are its relatively high cost (as much as 70 cents per unit) and the expense of manual bottling, due to the lack of compatible equipment outside Europe.

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ZorkThree part: Tamper-Evident clamp, Inner metal foil and Inner plunger.Made by Australia Company.Advantage: Intuitive, Effective, Distinctive .

ZorkIt consists of three parts: an outer cap with a tamper-evident clamp that locks onto the band of a standard wine bottle, an inner metal foil that provides an oxygen barrier similar to that of a screwcap, and an inner plunger that creates a cork-like pop on extraction and can be resealed after use.

It is made by an Australian company

INTUITIVE The ZORK STL is closure that offers an easy-to-use, genuine alternative to existing wine bottle closures with no corkscrew required.

EFFECTIVE The ZORK technology maintains the quality of bottled wine, ensuring that the wine is fresh and taint-free.

DISTINCTIVE ZORK STL is easy to recognize and stands out from the crowd, providing valuable shelf-pop in a crowded retail environment.

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