Fancy wines come from elite vineyards with fancy grapes which are carefully (and expensively) looked after, then aged for many years. Cheap wine comes from giant farms where they grow the grapes as cheaply as possible, then bottled and sold without much aging. The wine probably contains juice from grapes from many different farms mixed together.
Like with many “artisanal” products, much of the value of fancy wine comes from being very picky and using old fashioned or deliberately inefficient methods. A $4,000 pair of jeans isn’t functionally much different from a $25 pair at Target. Perhaps the cloth and stitching is a bit better, but most of the price difference comes from the fact that one pair was hand sewn by fashion designers, and the other pair was mass produced in a factory.
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