An exploratory study of Chinese own brand strategy in the grocery sector

Abstract

The purpose of this study is to explore the Chinese own brand strategy in the grocery sector by applying two competitive advantage theories. The theories are Porter’s Generic Strategies model and Hunt’s Resource-Advantage theory. Three sets of Chinese own brand strategies are reviewed. A preferred Chinese own brand strategy combining cost leadership and differentiation simultaneously is identified. A qualitative methodology is utilised to examine some of the many facets of own brand development in China. The main data for this study are drawn from semi-structured interviews and selected store observations in Shanghai, China. The implications, limitations and directions of the study are discussed.