Study On The Dilemma Of Tea Industry In Yizheng Based On SCP Paradigm

Yizheng area is one of the main production areas of green tea in Jiangsu Province.Tea is a traditional characteristic industry in Yizheng area.From planting,production and processing to sales,the tea industry in Yizheng area has improved the sales volume and popularity of tea through a series of measures such as introducing good seeds,establishing bases,innovating brands,supporting leading players,and opening up markets.Based on the SCP theory in the industrial organization theory,it is found that there are many problems in the Yizheng tea industry after analyzing the cultivation,processing and circulation of Yizheng tea industry.SCP theory studies the market structure,market behavior and market performance within the industry.This paper analyzes the market structure of tea in Yizheng area from the aspects of market size,industrial concentration,product differentiation and entry and exit barriers.According to the analysis,the problems of small size of tea industry,low concentration of market and high barriers to entry and exit of tea processing industry were found.The analysis of the market behavior of Yizheng tea industry starts with the planting industry,processing industry and circulation industry,and investigates and analyzes the microscopic behavior of tea growers and tea companies.The result is that Yizheng’s tea growers are in a weak position,the technology innovation ability of tea enterprises is insufficient,the tea sales means are single,and the processing enterprise costs are higher.The main method to study the tea market performance in Yizheng area is to compare the cost and income of Yizheng tea planting and processing industry in the past two years.The conclusion is that the market performance of Yizheng tea industry is relatively low,the marketing ability is low,and the technical development is insufficient.In order to improve the development of tea in Yizheng area,based on the above analysis,the paper puts forward the solutions from the point of view of Yizheng government and tea enterprises,aiming at the problems in market structure,market behavior and market performance of Yizheng tea industry.The government should coordinate the layout,optimize the structure of the tea industry,improve the concentration of the industry,and guide the tea companies to compete in an orderly manner.Enterprises should implement the strategy of vertical integration,extend the industrial chain,improve their performance,learn modern marketing methods,enrich the types of tea,and improve the quality of tea.In this hope,the tea industry in Yizheng area will gradually expand,the quality will continue to improve,the overall competitiveness of the tea industry will continue to increase,and the social and economic benefits of Yizheng area will continue to improve.