Chinese Tea Shop

Winnie Carol Juyi Samaa Rozanna

History of the Trade

Origin

Southwest of China

Dates back 4 to 5 thousand years

Started in Tang Dynasty and flourished in Song Dynasty

First Spread

Japan monks took seeds, utensils, learned tea-making

techniques back to Japan

Worldwide Spread

16th century, Dutchmen brought word of magic leaf to Europe

1610, East India Company first sold tea to Europe

1636, tea entered France then Russia

1650, tea finally reached Britain

Tea culture in Malaysia

Brought in from china

21st Century

Revival of tea culture

Ideal trading point

Import duty-free policy

Strategic location

Multiracial community enjoys drinking tea

KLANGChwan Deng Tea Art

No. 2098, Jalan Meru, 41050 Klang, Selangor D.E.

History

1999, founded by 2 sisters

Tan Hoe Sim and Tan Hoe Ling

Bought over existing tea company

Start business in Klang Parade

Limited space

Moved out to bigger space

Products

Pu erh tea

Oolong tea

Swee Tin Tea House IPOHNo. 18, Persiaran Bijih Timah, 30000

Ipoh, Perak

History

1942, Lee Yi Xhen

Named Swee Tin to commemorate his father

Small stall – Chinese tea

Noticed locals preferred ‘the tarik’, then added black tea to his sales

Products

Chinese tea, Black tea, Red tea, Green tea,Fermented tea

Popular Brands – Lion Tea, Fuk Luk Sau Tea

Import from China, Indonesia, Sri Lanka

3rd generation, Lee Kah Onn, modernized the shop

Comparison Analysis

Chwan Deng Tea Criteria Swee Tin Tea

Klang Location Ipoh 1999 Establishment 1942

15 years Operation 72 years

Pu-erh teaOolong tea Products Pu-Erh tea

Black tea

China, Taiwan Import China, Indonesia, Sri Lanka

Majority ChineseMinority Indian Customers

Majority MalayMinority Chinese

Chinese cafes, Mamak stalls

- Branches -

11 Competitors in the area 4

Perfect Competitive Market Structure Perfect Competitive

MYR 30,000 Income MYR 36,000

Chwan Deng Tea Strategy Swee Tin Tea

Price set according to market

Pricing Price set lower than competitors

Coupons offers Promotions

2 employees Management1 storekeeper

15 warehouse employees

Prepare gift sets package Holiday season Offers ‘buy 3 free 1’ deals

Twice a month New products Monthly

Using latest technology to store and extract tea Technology

Computerized system to manage the store

Recommendations

Location

Advertisement

Packaging

Technology

Education service

Products

References

• Global Manufactural(2008) Swee Tin Tea Merchant Sdn. Bhd. Retrieved from http://www.gmdu.net/corp-734216.html

• About to thaiteetea.com (2014, January 1) Retrieved from December 2, 2014, from http:// www.thaiteetea.com/en/html

• About us - purple Cane e Shop (2014, January 1 ) Retrieved November 25, 2014, from http:// www.purplecane.my/en/content/4-about-us

• Welcome to Tork Shou Heong (2010 January 1) Retrieved December 1, 2014, from http://www.torkshouheong.com.my/index.php