Research On Competitive Strategy Of Teck Soon Tea

Teck Soon Tea is facing many opportunities and threats in the more and more intense tea market in China. The chance of Teck Soon Tea to win out essentially relies on how to set up a sound product strategy aiming to make use of these opportunities with its favorable advantage and to avoid risk and overcome its disadvantage. This paper intends to make a systematic analysis of Teck Soon Tea with a discussion on strategy management theory. It aims to provide a basis for scientific making policy decision and to offer an optimal competitive strategy with assistance of macroscopic and microscopic, qualitative and quantitative discussion.The paper begins with an analysis on the current situation of Teck Soon Tea by data statistics and Boston Matrix, point out the existing problem in such aspects as product orientation, market orientation and competitive strategy, etc. Then the paper make an analysis and comments on Teck Soon's external environment and its status in competition. The PEST, Five Competitive Force Model of Teck Soon and EFE Matrix are involved. It is pointed out that Teck Soon enjoys the concept's variety of consumption and the quickly increasing tea consumption, etc. But it is also potentially hindered by the competition of foreign tea turning worse and the total quantity of supplies exceeding the demands. The related evaluation leads to a conclusion that Teck Soon is currently in an attractive market. With the results of the experts survey and the discussion under KSFs, six key success factors are worked out, namely, Scale advantage, the ability of HRM, the system of quality, the ability of the total cost control, the ability of sale channels developments and network construction and the ability of brand management. Probing into the internal environment of Teck Soon with the discussion under Value Link Theory, Core Competence Theory and IFE Matrix, this paperbelieves that Teck Soon has a favorable good image, sound sale channels, advanced equipments, etc. But it also faces disadvantage in HRM. the price, the ability of the brand management, etc. It is argued that Teck Soon is in an unfavorable position with an overall consideration, in order to discuss the product strategy suggested for Teck Soon, SWOT model are constructed. The development strategy plans are laid out with the analysis of the current products under customers Matrix. The discussion of QSPM model leads to a suggestion that Teck Soon's overall competition strategy should be the strategy of permeating into market. The suggested strategy is under detailed discussion. As for its implementation, Teck Soon is advised to take the following seven suggestions: enhance the market troop's management and brand management, perfect the decision-making mechanism, perfect the management system of quality continuously, reasonable control the cost, promote the HRM ability, perfect enterprise's cultural construction.