In March 2023, Qu Ming, chairman of Sanmark Corp. (Sanmark) in China, faced a strategic dilemma. Sanmark was a global leader in barrelled nutritional plant oils and served over 700 clients across more than 40 countries. But when the overseas market became saturated, the chairman decided to target the Chinese market by focusing on bottled oil sales to overcome growth limitations abroad. Qu successfully transitioned from business-to-business (B2B) exports to the business-to-consumer (B2C) market in China, shifting focus to bottled nutritional oils and growing sales from ¥2 million in 2019 to ¥50 million in 2023. However, the limited consumer base for nutritional oils in China made it difficult to meet marketing goals. The company explored three different paths to breaking through in this niche market: Should Sanmark premiumize its already established brand Blue Uncia as a luxury health brand? Should it instead diversify into mass-market edible oils? Or should it pivot to a new segment by repurposing production by-products into functional food powders?
晟麦:从“桶装油”到“瓶装油”的转型 (Sanmark: Transition from “Barreled Oil” to “Bottled Oil” Simplified Chinese version)
Wei Wang, Jingcheng He, Zhongji Yang
Product #:W49192
Supplier:Tsinghua/Ivey
Discipline:Marketing, Operations Management
Setting:China, 2023
Your Price:$9.71
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Learning Objectives
- 识别B2B与B2C市场中产品特性的关键差异
- 对比B2B采购驱动因素与B2C决策要素
- 构建技术型B2B资产向理想化B2C品牌叙事转型的框架
- 理解应对中国独特零售格局的线上线下协同策略
- 分析B2B向B2C转型中的风险意识决策
This case is designed for undergraduate and master of business administration students and is suitable for courses in marketing and brand management, focusing on market expansion, marketing strategy formulation, and the implementation of marketing tactics across different market environments. By working through the case and assignment questions, students will have the opportunity to do the following:
- Identify critical differences in product characteristics between B2B and B2C markets.
- Contrast B2B procurement drivers with B2C decision-making factors.
- Develop frameworks for repositioning technical B2B assets into aspirational B2C brand narratives.
- Comprehend coordinated online-offline strategies that address China’s unique retail landscape.
- Analyze risk-aware transition decisions for B2B-to-B2C shifts.