hsbc-iba case competition 2016(semifinal)

PHOENIXTEAM

Case Background

Western brand with local characteristics

Collaboration with small no. of large

processors

Severe lack of trust in marketStrong hold on logistics channel

Core Issue

Lack of Trust In Chinese Consumer Market

Internal

Anti-biotic, growth hormones,Unhygienic environment

External

Bird flu and other diseases

1 2 3 4

4C Analysis

Company

Customer

Competitor

Collaborator

90% company owned outlet

Strong logistic network

Dicos & Hua Lai Shi: Low price

Lack in trust

Increasing interest in competitor product

Local Big Suppliers

Big Western Competitors

Kung Fu Catering

1

43

2

Key Success Factors (KSF)

Global Taste, Local Menu

Sourcing From Local Farmers

Training the Local Employees

Total Quality Control

Alternatives

Focusing on Local Cuisine

1

Regaining Consumer Trust

22

Importing Meat From Foreign

Market

3

Big Idea

REGAINTrust, Same Store

Sales

RETAINBrand Image, Growth

Ensuring Supervision of Scattered Farming

Bulk Buying from Northern Region

Include Cooperative Farming

Action Plan (Supply Chain)

Complying with ISO 22000

STAR Audit after 6 Months

Establishing Quality Control Department

Action Plan (Quality Control)

Interactive Consumer Survey

Community Development- “ Together We Develop”

“See by Yourself” campaign

Action Plan (Marketing)

Challenges & Feasibility

Feasibility

ChallengesIncreasing Concern over antibiotic and hormone using

Highest amount of control & frequent STAR audit

Lack of trust on foreign company’s honesty

Marketing Campaigns

Failing to meet target will result in corrective measures

Failing to maintain standard Will eliminate the contract

Monitoring the chicken sales of

Outlets

Monitoring through STAR &Quality Control Dept.

Monitoring and Evaluation

1 2 3 4

Timeline

6 Months

1 Year

2 Year

4 Years

Collaboration and Promotion

Focusing on quality control

Obtaining ISO certification and establishing collaboration with

co-operative farms

Establishing it as a trusted brand to the Chines Consumers

Financials

Same Store Sales Growth(2014) : 1st Quarter : 4-6% 2nd Quarter : 6-8% 3rd Quarter : 8-10% 4th Quarter : 10-12%

Overall Growth : 7-8%

Contingency Plan

Importing from outside china like Thailand, Turkey etc.