The Study Of Shanxi Vinegar Industry’s Competitiveness

Shanxi aged vinegar, as the first of China’s four famous vinegar, is known as plain cotton, sour, sweet, fragrant and fresh. It has a long history and unique flavor. With this flagship, Shanxi vinegar industry is developing rapidly, by the end of2012, Shanxi vinegar production has reached770,000tons, accounted for26%of the country’s total output. Shanxi has become a veritable producing province. However, Shanxi vinegar is facing many problems:industry concentration is not high, market competition confusion, production technology backward, decline scarce R&D personnel and other issues lag. Hen shun, Sichuan as famous vinegar have fierce competition with Shanxi aged vinegar.This paper focuses on enhancing the competitiveness of Shanxi vinegar industry, using the basic theory of industrial economics to analysis Shanxi vinegar industry. We use Michael porter diamond model, and suppose that Shanxi vinegar industry should make good opportunities and polices, and play production factors, product advantages of quality, business management, technological innovation, etc. to take strategic optimization, technology guidance, management innovation and other measures, We wish that Shanxi vinegar can become better.