Regale Teahouse

BUS 441

VANESSA LIEU

ID # 101786760

REGAL TEA COMPANY

I. Mission Statement:

Regal Tea Company’s mission is to give its customers the best Vietnamese tea beverage values that they can conveniently access in local areas and to provide them with a relaxing atmosphere where they can enjoy at a social and spiritual level. We take pride in providing its customers with the widest variety of Vietnamese teas accompanied by authentic Vietnamese delicacies in the most comfortable environment.

Vision:

Regal’s goal is to promote Vietnamese teas to consumers worldwide. We want to the world to know that Vietnamese teas are among the finest and highest quality products. We see that our retail stores will be located in every well-known city worldwide. Regal Tea will be a recognized brand name tea in the international market. Not only we are devoted to serve our customers with the highest satisfaction, but also with the friendliest and warmth that they deserve. Our teahouses are the most comfortable place that people want to come to relax, escaping the harsh realities of the world.

History:

Regal Tea Company is owned and operated by the first generation tea producers approximately 6 years ago. It began in 1999 when the Tran family migrated to New York City. They came from Ho Chi Minh City, the bustling and industrious center of Viet Nam. Mr. Tran was nostalgia for his homeland when his family first arrived. He had the longing to taste the rich smooth taste of Vietnamese tea again. He missed the fun teatime he spent with his friends and family in his country.

Drinking tea is part of Vietnamese culture. It has its tradition deeply rooted in social and cultural ceremonies. Vietnamese people tend to drink several cups per day. They drink tea with family in the early morning, at work with co-workers for lunch, and at home again when they get off work.

He was unable to find any local teahouse where it would offer him the sense of “Viet Nam” in NYC. “People say that if you drink Vietnamese tea, you’ll be able to get a sense of Viet Nam.” He was searching the feeling of being in his homeland again. Despite that there were plenty of Vietnamese restaurants, none offered authentic Vietnamese tea as a beverage. Disappointed and frustrated, Mr. Tran set out a goal to make sure that there would be Vietnamese teahouses in NY City where overseas Vietnamese and foreigners would able to go to enjoy the taste of Vietnamese teas with their family and friends. He foresaw that Vietnamese tea would be a respected and recognized brand on the international scene.

Regal has quickly expanded to 5 retail stores in the tri-states areas. The company has been progressively developed. It owns and operates 1 manufacturing plant in

Viet Nam, incorporating modern technology into traditional methods of processing tea leaves. In NYC, the headquarters operates a tea packaging plant to ensure the quality of tea bags and freshness of the tea leaves. Regal has the reputation for being the highest premier supplier for Vietnamese tea.

Regal is committed to research and development of new seedlings and application of advanced agriculture farming practices. It always considers research and development as one of the important activities to improve the products’ quality and satisfy customers. It has a close monitoring of the production process from the raw material to the finished products. Regal recruits the best scientists in the country to develop high advanced quality seeds.

Regal opened its first location in New York City in 2000. It began to provide teas to restaurants, bars and supermarket in 2001. In the same period, it launched its website www.regaltea.com with services to 50 states and other countries. In 2002, it opened it first licensed teahouse at Stony Brook University.

Strategic intent:

Regal wants to establish itself as a clear cut winner in the marketplace. It truly desires to be the dominant company in the industry. It understands that its strategic intent is out of proportion to its current immediate capabilities, resources and market positions. However, it’s determined to pursue this ambitious strategic objective that may take many years to accomplish.

Objectives:

Business involves carrying out the goals and benefiting from delivery and success. Regal realizes that financial and strategic objectives are essential for the life of business. They function as yardsticks for tracking its performance and progress and allow the company to reach its full potential.

As for strategic objectives, Regal sets out to strengthen the company’s

brand-name appeal, have stronger national sales and distribution capabilities than rivals, consistently getting improved products to market ahead of rivals, overtake key competitors on quality, have better product selection than rivals. As for financial objectives, Regal would like to achieve annual revenues by of 5%-6% annually; focus on sales and marketing efforts on those brands with potential to become market-leading brand names; reduce expenses in all parts of operations, such as cultivating, harvest, packaging, and transportation; and, sufficient internal cash flows to fund new capital investment.

Strategy:

Company’s present strategy is focus improving on quality of tea products because its quality is considered inferior compare to other well known brands. A strategy is needed to cope with the industry and competitive conditions. Regal knows that it’s a mistake to think that strategy- making rests exclusively with top level management. Since Regal is a family owned firm, Mr. Tran functions as the strategic visionary and chief architect of strategy. However, the strategy making is a collaborative team effort involving everyone in the organization.

Regal makes a practice to encourage individuals and teams to develop proposals for new products and business ventures for the company’s entry in new geographic markets. It promotes corporate intraprenuers, enabling them to unleash their creativity and pursue new strategic initiatives.

II.