International business opportunity of sriracha in south korean

International Business Opportunity of Sriracha in South Korea Identify and analysis Korea market Introduction about Huy Fong's food and Sriracha Chillies International Business opportunity of Sriracha in South Korea Introduction about Huy Fong's food and Sriracha Chillies "To make a rich man's sauce, Huy at a poor Fong man's Foods quote price." - David Tran Products Line The company’s production line includes main products: Sriracha Hot sauce, Sambal oelek and Chili garlic sauces Huy Fong Foods STRENGTH 01 High quality and unique products with iconic packaging 02 The bigger and bigger Sriracha lover community 03 WEAKNESS Short on supply because of only using fresh chillies 04 Downside of not spending on marketing 05 IP problems COMPETITORS watch out! Samyang Buldak ( ) 불닭소스 Chung Jung One Sunchang Gochujang ChoGochujang y f i t n e d I and Analysis the Korean market m a rket siz n a e r Ko e Koreans are famous for their spicy cuisine Large amount of chili sauce products distinctive culture - Mapbusim Scale related to chili sauce market share Revenue Volume Distribution Statistics show that in 2022, revenue in the “Sauces & Condiments segment” (including Chili sauce) amounts to USD 5.12 billions Volume in the “Sauces & Condiments segment” is expected to amount to 1,741.0mkg by 2027 Convenience stores such as 7-Eleven or in large commercial centers such as Lotte Department, Coex Mall, Coupang, Gmarket, Social l a c i t i l o P Econ omic s analysis l a g Le Environ y g o l o n o h c e T ment International Business opportunity in South Korea Opportunities Trade fair (Exhibition Seoul Food by KOTRA) Distinct flavor, culture (red colour), Mapbusim Lower cost production, Free Economics Zones KORUS FTA, USKTA, WTO Threats Competitors with large market share and familiarity (Gochujang) Exchange rate, higher price, unsuitable marketing strategy Unfamiliar weather Time perception, power distance Potential Customers Adjustment and recommendation Adjustment CHALLENGE for Sriracha Not many customers in the Korean domestic market know about Sriracha chili sauce Sriracha sauce is perfect for use in Korea, perfect as an all-in-one condiment But not in Korean food The level of recognition of Korean chili sauce is too large and the quality and taste of chili sauce in Korea and Sriracha are similar Solution Adjusting in price for the first challenge Adjusting in place Adjusting in promotion CONCENTRIC DIVERSIFICATION STRATEGY for the third challenge The goal of concentric diversification is to leverage the company’s existing competencies and resources to enter new markets and grow its business The End “Hot sauce must be hot If you don't like it hot, use less.” ... analysis Korea market Introduction about Huy Fong's food and Sriracha Chillies International Business opportunity of Sriracha in South Korea Introduction about Huy Fong's food and Sriracha Chillies... domestic market know about Sriracha chili sauce Sriracha sauce is perfect for use in Korea, perfect as an all -in- one condiment But not in Korean food The level of recognition of Korean chili sauce is... large and the quality and taste of chili sauce in Korea and Sriracha are similar Solution Adjusting in price for the first challenge Adjusting in place Adjusting in promotion CONCENTRIC DIVERSIFICATION