The main advantage Mondavi possesses over Allied Domecq is the fact that it has a series of well established brands, brands which have become well-known to the market through marketing campaigns that ensure that the brand has a distinct identity and unique image. Additionally, in my opinion, until the synergies begin producing results, the tactics of simply buying players on the market needs time to sediment and to become cohesive. From this point-of-view, Mondavi, as a family business first of all, has always being united around a common idea and figure. 4. Morandi basically has two strategic options in 2002: growth through acquisitions, a method that one of the most important competitors has employed, as we have previously seen, and growth through organic development. Morandi has already picked the latter, but we need to go through each of them to point out why this is naturally the best option for the company in the future.

The organic growth relies greatly on the company's core competencies, as some of them were referred to previously. As Michael Morandi and Greg Evans described their plans, organic growth fitted the company because it provided "high-quality wines...

Bringing in new brands from acquisitions would mean spending a large amount of money on promoting the new brands as a Morandi image and integrating the new businesses.
The latter brings again the company's human resource as one of the main benefits and core competencies of the company. Some of the people working for Morandi have already been with the company for decades and including new personnel from acquired businesses would not be profitable for the team spirit that has developed at Morandi.

Finally, we need to recognize the fact that there is also an issue of available funds to finance such ventures. As Greg Evans has explained, the price of properties has greatly risen lately and such an enterprise could probably only become profitable after a certain period of time.