傳統中式製造產業的策略規劃 / Productos On Hong wants to push its competitor Lee & Quiros out of the market. To achieve this goal, the company requires a strategic move to drive out the competition while achieving a reasonable profit. Productos On Hong would develop new markets and establish 2 alliances: 1) Pastas Vigui 2) Molinos de Costa Rica. Pastas Vigui is a manufacturer. It has been supplying noodles to Lee & Quiros for over a decade. Pasta Vigui sees the growth in sales to the Chinese restaurants is limited because the market segment has reach maturity and Productos On Hong has a high market share. Productos On Hong and Pasta Vigui approached each other to find a win-win solution. The strategic alliance with Pastas Vigui will benefit Productos On Hong in the following ways: - Control the noodle sourcing - Control the Chinese Restaurant market - Stabilize prices in the market - Penetrate other markets in Latin America With these advantages, Productos On Hong will become the only and exclusive distributor of noodles in Costa Rica and along with Pastas Vigui set high barriers of entry. At the other end, the alliance with Molinos de Costa Rica, a source of flour, will help Productos On Hong to lower the cost. By controlling the source of noodles in the country (Alliance with Pasta Vigui) and using an aggresive price strategy, Productos On Hong is expecting to push Lee & Quiros out of the II market and increase market share by 30-40% from the current 50%. by 2010. The sales of bread and wan tan are expected to achieving similar results. The annual growth for Chinese Restaurants is around 2-3%, hence company needs to look for new ways to grow and be more profitable, that's why it is crucial to diversify and emerge into new customers segment such as big companies and Universities cafeterias, hotel, supermarkets and others. In order to develop and implement the strategy, operation data were first collected . A critical market analysis followed. Cost of manufacturing and distributing were reviewed next and opportunities for cost reduction identified.