Market Repositioning and Strategic Adaptation: A Case Study of Nongfu Spring’s Return to the Purified Water Market

Department of Economics and management, Nanjing University of Aeronautics and Astronautics, Nanjing, 210016, China

^* Corresponding author: dt0717@ldy.edu.rs

Abstract

Nongfu Spring launched its newly packaged purified water products in April 2024, which marked a significant restructuring of Nongfu Spring’s product line. This study examines Nongfu Spring’s strategic decision to re-enter the pure water market and the motivation and market reaction behind it. By analyzing market demand, brand positioning, competitive landscape and Complex Adaptive System (CAS) model, it reveals how Nongfu Spring achieved successful re-entry in a highly competitive market through brand influence and flexible market strategies. The study finds that Nongfu Spring expanded its product line and responded to the growing demand for purified water while seeking new growth areas to consolidate its leading position in the drinking water market. Despite market education and brand trust challenges, Nongfu Spring increased its market share through precise market positioning and effective marketing strategies. This study also proposes future strategic optimization recommendations for Nongfu Spring to maintain its competitive advantage in the ever-changing market environment.