Preserve the luxury or extend the brand Case Study

Preserve the luxury or extend the brand - Case Study Example ?s fellow grand cru classà © owners complained about the nà ©gociants’ margins whom Gaspard accepted because they have a ready buyer even in their bad years. What Gaspard missed is that their brand had been classified by de Vallois had in 1855 as a Premier Grand Cru Classà © (First Growth) making their brand already saleable at a commanding price even without a nà ©gociant who would readily buy it. Sticking to their two brands, this may not be enough to secure the chateau in the long run because new wine makers with cheaper wine are already coming in the market. These new competitors’ offer an alternative to their products that could shrink their market share and pose a real threat to Gaspard’s business. Gaspard must adapt to the new realities in the wine industry. Extending the brand has many advantages. First, Gaspard can widen their market share to include the younger market who could not afford their high end wines. This market is already a captured market and there is a greater probability that they would come to them when they are ready to purchase high end wines. Second, Gaspard has the advantage of being classified by de Vallois had in 1855 as a Premier Grand Cru Classà © which they could use in marketing their branded wines. Claire was right, they could either buy grapes or land and mention that its either ‘Bordeaux origin’ or that the de Vallois team is in charge of making it in case they would buy cheaper lands abroad to grow grapes. This option will not harm the brand of Gaspard’s premiere wine because they will not be mixed up. In fact, the de Vallois brand can complement the upcoming branded wine by suggesting quality and class by association. In addition, these branded wines can easily adapt to the changing tastes of the younger market and make the most profit by catering to what they want. When this younger market can already afford the high end wines, they can also graduate to the Vallois team’s high end wine. True there is

Importance of Contract Formation Term Paper Example | Topics and Well Written Essays - 1250 words

Importance of Contract Formation - Term Paper Example Any offer, forming these elements, is legally binding. The right of the contracting parties is to get the contract fulfilled in their favor, and to perform only those acts as obligations, which are mentioned in a contract, and not more or less than that. That is how, the formation of a contract, with its essential elements, becomes very significant. Simply defined in law, ‘a contract is an agreement or a promise, enforceable by law, which has the power and capacity to be legally binding’. It is between two or more parties. It could be oral, in writing, through electronic means, or a combination of one or more of these means of a contract. Contract law is based on the principle that is expressed in the Latin phrase, ‘pacta stunt servanda’, which means, ‘agreements are to be kept’. There could be many kinds of contracts such as a sales contract, a partnership contract, a mortgage contract, a rental contract or a marriage contract. Business contracts are considered to be in writing, essentially, to be legally valid. â€Å"Social contracts have long been characterized as appealing to either actual consent or Ideas for legitimacy. Jean-Jacques Rousseau, however, appeals to both, hence gaining the benefits of two approaches.†. Contracts have been used to shape and regularize personal and family matters also, since long. â€Å"Contract has long been used to shape and facilitate non-commercial, personal or family relations. Casebooks are replete with examples of ‘bait promises’.†   Intention to create a legal relationship, which means that both or all the parties to contract must have an intention to enter into a legal relationship. This intention could be express or through conduct but it is considered better if the intention is mentioned expressly in the contract.