Four strokes Breakout Pange betel nut industry leader wins position.docVIP

 PAGE \* MERGEFORMAT 10 Four strokes Breakout ‘Pange’ betel nut industry leader wins position Case Background 〔〕 Xiangtan, Hunan Province is a very mature market, betel nut, betel nut a lot of enterprises are started in Xiangtan, from a blind entrepreneur founded the ‘Pange betel nut’ as well. At that time ‘Pange betel nut’ tastes are rather heavy, Xiangtan people more accustomed to, but it is a go to Changsha, consumers simply could eat, because other local production are relatively light taste of the betel nut, this case, the fat into other markets like Colombia and betel nuts are more difficult. As betel nut a large market, high profits, many companies are trying to break into, so increasingly fierce market competition. Xiangtan, which is a local business, and constantly in the market squeeze ‘Pange’, the ‘Pange’ was once 50% of the Xiangtan to squeeze into the local market share of 15%. At the same time, ‘Pange’ in other localities of the market are also being squeezed. The blind boss a little bit anxious, they start to price competition, originally ‘Pange betel nut’ retail price is 2 Yuan / pack, finally hit 1.5 Yuan / pack, so basically there is no profit to companies, while the market share or all the way decline, continuing price war so that the boss is almost blind, lose their confidence. Then ‘Pange’ facing the situation is like this focus into the Changsha market has no access to the local market was again in Xiangtan competitor’s price war played no strength to fight back, how can I do? Almost nine months of price war, ‘Pange’ could hardly sustain, and has come to sell business situation. Faced with this state, in order to get rid of them, we must change too. How to adjust it? The first one: Open up the mature, stimulated growth, Weiweijiuzhao Xiangtan is a very mature market, price competition in mature markets is suicide. Demand market is stagnant, if the companies think about expanding the nascent demand does not, and the original is only