Tea, with its unique flavor and fragrance, its gentle taste and delightful sweetness, has conquered the taste buds of innumerable people. In its native place -China- it has always been of daily need and use. And now that, for convenience, it has become a "portable tea beverage", can it still distinguish itself among other soft drinks?
China''s economy is going through a gradual transformation which will slowly, but at a sustained pace, let the country benefit from its huge internal demand. In an environment of constant urbanization, a skyrocketing growth in food and drinks consumption and where exists a harsh competition among tea beverages producers, and in a market-the cross strait one- where tea is part of everyone''s culture, which is the way through which tea drinks can rise above other soft beverages? This paper aims at observing how Uni-president Group operates in the cross strait competitive environment. Moreover, it tries to discuss the differences and common features in the development of tea drink market on both shores of the strait, attempting to evaluate the likelihood for tea drinks to substitute in the future the others soft beverages, therefore reaching the highest market share.
The research is the result of an analysis of the marketing competitive strategy within the cross strait tea drinks market, and its main axis is the analysis of Uni-President Co. in the cross strait competitive environment of tea drinks. First of all, I will carry out a comprehensive analysis of how the tea drinks market developed on both side of the strait so far, describing the current state of the market as well. The second part of the dissertation will deal with the evolution of Uni-President Co. in the cross strait tea drinks market, so as to obtain a comprehensive survey of the competition status in tea beverages'' market.
The paper will then proceed with the application of Michael Porter''s competitive strategy. Through Porter''s diamond scheme, I will observe the competition environment in the sector, and try to identify the firm''s competitive advantage in its value chain. Finally, I will make use of the SWOT analysis in order to detect Uni-President''s both internal and external competitors, discussing the firm''s competitive strategy in response to the competition environment.
Given the above-mentioned research path, the paper conclusion is as follows: tea drinks have already become the leader in Taiwan’s soft drink market, and in China they are the third soft drink by market share. As to market players, Uni-president is the leading brand in Taiwan, while in China it is second only to Master Kong (Tingyi Holding Corporation).