Marketing Strategy Research in China's Dairy Industry: A Comparative Analysis between Mengniu and Yili

Abstract

Dairy industry is a significant part of the national economy. Population, GDP per capita, income level of urban residents and dietary structure are all important factors affecting the development of dairy industry. Did though Chinese dairy products start late, they developed rapidly after the reform and opening up, and the milk production increased rapidly with a double-digit annual growth rate, much higher than the world average level of 1% during the same period. In particular, as the leading enterprises in China's dairy industry, Mengniu and Yili have become the world leaders in just a few years. The article starts from the domestic and foreign markets of Mengniu and Yili, studying the strategic objectives, using marketing theories, such as STP theory, conducts comparative analysis from the aspects of consumers, market positioning, marketing strategies, and summarizing their current situation and future development trends. By studying the business activities of Mengniu and Yili, the paper explores the development law of milk products, summarizes the successful management strategy, and puts forward the strategy to promote the sustainable and healthy development of milk products.