Research on Cost and Expense Management in the New Tea Beverage Industry: A Case Study of Bawang Tea Princess
DOI:
https://doi.org/10.71204/gckm0m32Keywords:
New Tea Beverage Industry, Cost Management, Bawang Tea PrincessAbstract
Amid intensifying competition and rising costs in the new tea beverage industry, effective cost management has become crucial for enterprises to build core competitiveness. This paper examines the rapidly rising and publicly listed new-style Chinese-inspired tea beverage brand Bawang Tea Princess as a case study, delving into its cost management practices. Based on the company’s financial data from 2021 to 2024, the research systematically evaluates its cost control effectiveness through trend analysis of core indicators such as gross profit margin, net profit margin, and cost-to-profit ratio, while benchmarking against brands like Heytea and Milk Snow Ice City. Findings reveal that through vertical supply chain integration, technological empowerment, and refined operations, Bawang Tea Princess achieved a significant increase in cost-to-revenue ratio despite raw material cost fluctuations, demonstrating strong profit resilience. However, its current cost management still faces challenges including raw material price volatility risks, high marketing expenses, and insufficient localization strategies. Accordingly, this paper proposes systematic improvement measures across dimensions such as building resilient supply chains, deepening digital transformation, optimizing marketing ROI, and advancing ESG strategies. These aim to provide valuable insights for Bawang Tea Princess and similar new tea beverage enterprises to optimize cost structures and achieve sustainable development.
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Copyright (c) 2025 Yutong Zhao, Sinuo Liu, Siqi Peng (Author)
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