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Abstract

Italian wines have been enjoyed by Canadian consumers for decades and the consumption is not limited to the ethnic Italian population. The study examines effects of wine characteristics and the brand associated with the designation of geographic origin estimating five hedonic price equations for Barbaresco; Barbera; Veneto (Valpolicella, Amarone and Reecioto); Soave; and, Chianti and uses weekly sales data from British Columbia retail outlets. Results indicate that, in general, a premium was paid for higher alcohol content, but the effects of individual brands within each area of origin varied and the range of price premia and discounts was from 14% to -12% suggesting that small price changes with regard to the baseline wine price could affect purchase.

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