Wine Prices in the US

I just got back from a small excursion in New York City. As I hopped from liquor store to liquor store, I was surprised at the selections even the smaller shops offered.

I found a bottle of 88 Gruaud Larose for 72 USD, which I bought. Even a bottle of 57 Latour was only selling for 500 USD.

Here in Atlanta (I just went to a wine store here), the 86 Gruaud Larose is selling for 150 USD, and an 82 Latour is selling for 900 USD.

My question: How can the prices be so different here in the south? Are the wines imported into NY at a cheaper price? One would think people would be able to pay more for wine in NY, thus the wines would be more expensive.

Thanks

Don, Georgia has another layer in its distribution system. In most states an importer can also be a distributor, not so in Georgia. So in the Peach State, all wines domestic or imported are first sold to an importer, who then sells them to a wholesaler aka distributor. When I was in the biz, wholesale prices for my wines were at least 5% higher in Georgia. Here's a link to our FAQ on the subject:
http://www.virtual-ink.com.au/afw-faq/faq010.htm

Also as a practical matter, competition is more intense in NY, DC, Boston etc than it is in Hotlanta; so you pay more.

For example retail stores operate on a lower profit margin than does those in Baltimore for the same item.