Competitors
2. Competitors
2.1 Direct Competitors
Being part of the Traditional Chinese Medicine (TCM) market, Eu Yan Sang faces direct competition from large chain retailers like Hockhua and neighbourhood medical halls like Yan Chai Tong Medical Hall. They are direct competitors because they compete in the same market sector of TCM retailing and also offer a similar product range.
2.2 Indirect Competitors
Indirect competitors will include Western pharmacies like Watson and Guardian, supermarkets carrying healthcare products, various health treatments, like acupuncture, reflexology and health spas. They are indirect competitors because they compete for the same consumer dollar and are able to satisfy the same needs.
[pic]
Figure 2.1 Strategic Group Map
[pic]
Figure 2.2 Perceptual Map
2.3 Competitor’s Strengths, Weaknesses and their Competitive Strategy
2.3.1 Hockhua
Hockhua is considered part of the strategic group of Eu Yan Sang as they also carry a wide range of products focusing on providing consumers with quality TCM products. Like Eu Yan Sang, they are also a large chain retailer with 41 TCM retail outlets spanning over Singapore, carrying their own in-house products. Both brands also have their own manufacturing factories handling their in-house products. Hockhua started its business in 1986, have 25 years of history and provides more than 3000 different health food products [17].
Strengths
Hockhua continuously train their employees, to enhance their professional knowledge in order to be able to serve their customers better [18]. They also take up the role of an educator, educating their customers on TCM and their usefulness. This attracts consumers to continue visiting their outlets. Hockhua set up companies to responsible for the import, distribution, management, production, processing and cultivation [17].They create their own in-house products and this helps them to monitor the entire supply chain, from production and processing to
2.1 Direct Competitors
Being part of the Traditional Chinese Medicine (TCM) market, Eu Yan Sang faces direct competition from large chain retailers like Hockhua and neighbourhood medical halls like Yan Chai Tong Medical Hall. They are direct competitors because they compete in the same market sector of TCM retailing and also offer a similar product range.
2.2 Indirect Competitors
Indirect competitors will include Western pharmacies like Watson and Guardian, supermarkets carrying healthcare products, various health treatments, like acupuncture, reflexology and health spas. They are indirect competitors because they compete for the same consumer dollar and are able to satisfy the same needs.
[pic]
Figure 2.1 Strategic Group Map
[pic]
Figure 2.2 Perceptual Map
2.3 Competitor’s Strengths, Weaknesses and their Competitive Strategy
2.3.1 Hockhua
Hockhua is considered part of the strategic group of Eu Yan Sang as they also carry a wide range of products focusing on providing consumers with quality TCM products. Like Eu Yan Sang, they are also a large chain retailer with 41 TCM retail outlets spanning over Singapore, carrying their own in-house products. Both brands also have their own manufacturing factories handling their in-house products. Hockhua started its business in 1986, have 25 years of history and provides more than 3000 different health food products [17].
Strengths
Hockhua continuously train their employees, to enhance their professional knowledge in order to be able to serve their customers better [18]. They also take up the role of an educator, educating their customers on TCM and their usefulness. This attracts consumers to continue visiting their outlets. Hockhua set up companies to responsible for the import, distribution, management, production, processing and cultivation [17].They create their own in-house products and this helps them to monitor the entire supply chain, from production and processing to