Thursday, November 21, 2019

Case Report Study Example | Topics and Well Written Essays - 750 words

Report - Case Study Example Chatime has enjoyed competitive advantage of its local brand of tea for long and now seeks a wider market to expand their branches as well as increase the visibility into the market not only locally but internationally as well. Zhao is the owner and overall manager of the brand and hence seeks to make not only operational decisions which are short term but strategic ones as well which will make the brand bigger. According to him, he wants his brand to be the â€Å"Starbucks of tea (Griffin, 2010) and hence the reason for the planning of the expansion.† This opportunity to diversify is faced with challenges one of them being that the customer base will be shifting from purely Chinese customers to the mainstream ones as well. Mainstreaming the tea will attain the company’s objectives of expansion but there is risk of rejection as well as the probable need to change the products to suit the culture and tastes of the mainstreams (Helms & Nixon, 2010). Carrying out a Strength, Weakness, Opportunities and Threat (SWOT) analysis is the best way for Zhao to understand the issues ahead of him and enable him to make the best decision as well (Ayub, et al. 2013). Identification of the strengths of the tea in the business will enable him to understand whether the locals love the tea because it is local or purely for its flavor. It is the locals’ love for the tea that has made the brand get uplifted to that level of even owning over 40 branches. The strength of the new market will also act as incentive or guide Zhao as to whether tapping into it is worth changing his product and customizing it for the new potential clients. The mainstream clients are bound to increase the popularity of the tea blend and its success will mean that the tea will be accepted globally as well. The other strength is that Zhao is a good business man and a strategic manager and is determined to make it work. He already has a plan in place that can work

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