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Price war may triggered as Quanzhou bakery giant enters Xiamen

Updated: 18 Jul 2009
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A Quan Fang bakery in Quanzhou of Fujian

 

On 15th July, 2009, the Quanzhou Quanfang Food Co., Ltd. open its first 24 hour bakery in Xiamen and announced that three more stores will be opened within this month and 100 stores within three years. Industry insiders believe a bakery price war will be triggered on the island of Xiamen.

 

Quanfang is the leading bakery enterprise in Quanzhou. At present, it has a factory of more than 13,000 square meters and more than 60 chain stores. Their products are the appointed products of airline companies. Quanfang is also the nominated supplier of Metro. 

 

Huang Yong'an, general manager of Quanfang, said there are over 50 bakeries in Xiamen with at least 7 different brands. Meanwhile, Xiamen citizens are easier to accept new brand bakeries. He reveals that the company plans to open 100 stores in Xiamen and 200 stores in Fujian within three years.

 

The arrival of Quanfang has attracted high attention from other bakeries in Xiamen. At present, some bakery companies have sent staff to inspect the new bakery.

 

Guo Zhenhui, the staff of Xiamen Sheng Fu Xing Food Co., said the bakery market in Xiamen is competitive. The arrival of Quanfang will trigger a new round of competition. However, he also said their company plans to open 10 more stores with a total of 60 stores.

 

In addition, some other bakery companies such as Ao Lian and Sunmile also plan to open new stores in the second half of the year.

 

SOURCE Link: XMNN

  

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