Established in 1986,“Hung Fook Tong” is one of the famous manufacturers and retailers of traditional herbal tea in Hong Kong which has over 70 retail shops with more than 700 staff members, self-invested factories in Hong Kong and Shenzhen and a sales network with extensive coverage. Mainly it serves customers with various kinds of Herbal Tea, Herbal soups, other non-herbal beverages, and snack (like dim-sums and sausages) on a price range of $8-$250. HFT also set up point of sales in the USA, Canada, Australia, England, Netherlands and Singapore, etc. The slogan of HFT on missions and values are ‘Herbs Life: Popular & Convenience’ and ‘True and Natural’. HFT clearly stated their market position by these slogans.
Due to the changing lifestyle, consumers are more demand for ready-made herbal tea. It is nearly impossible for working groups to make it after long working hours. Given the entrenched health trend in Hong Kong, HFT is enjoying the best volume growth in 2005 as a result of its stress-relieving qualities. Regarding the herbal tea, it is perceived to embody many properties that improve one's health. These trends are also expected to continue to boost herbal tea sales over the forecast period.
A scan of internal and external environment is an important part of the strategic planning for HFT teahouse business. By interpreting the internal factors of strengths(S) and weakness(W) and external factors of opportunities(O) and threats(T), we can have a better understanding about current position of HFT and develop the best fit strategies by utilizing its strengths and opportunities.
First of all, HFT Teahouse founded in 1986, HFT establish a well-known brand name in Hong Kong. HFT has been awarded “The Hong Kong Top Ten Brandnames Awards” in 2002 and "Superbrands Hong Kong" in 2003. It is helpful and easier for HFT to launch marketing or promotion programs. Secondly, it differentiate...