Current Situation Of China's Dairy Industry Competitiveness Diamond Model

In china, dairy industry is a burgeoning one, dairy market is a developing market too. With the fast development of china's domestic economy and increased income, Chinese have changed their habit of consumption and improved the framework of diet, they build up health consciousness .what's more, the benefit of dairy has been recognized by most consumers. Demand of milk has increased fast. So dairy is one of the most potential products, dairy industry can be the new backbone of the domestic economy, and it can be a great breakthrough in stockbreeding.But when we think of the recent years , dairy industry has comethrough lots of conjunctures ,such as "the false milk powder in puyang "," falling milk ", "furious competition of price" , "the interest ofstockbreeding declined sharply" .The whole industry has been oppugnedfor its credit standing, what's their future?This thesis introduces Michael E.Porter's "competition theory", and then scientifically analyzes the competitive ability about the dairy industry by Porter's Diamond model from the point of view of the industry competition. In the end , rational strategies have been brought forward to upgrade their competitive ability according to the dairy industry's circumstance and self- strength. Through analysis, we think the dairy industry will grow fast accompanied with opportunities and challenges. In despite of the low competitive ability and status in china at present, their future will be bright, and the dairy industry will be the one of the new backbones of the domestic economy.