Bubble Tea is a successful investment field: Alan Yu example of success

When Alan Yu opened his first boba store in southern California in 2000, he didn’t think his business,
Lollicup USA Inc., was going to transform from retail to one of the largest cup manufacturers in paper and plastic from the country, with $ 124 million in annual sales. He also did not anticipate all the obstacles he would have to overcome to push them.
In the beginning, he thought only of boba.
Four different sorts of Lollicup boba drinks on the shelf
Yu, a UCLA grad, visited Taiwan in 1999 when boba tea was just beginning to begin there. He decided to remain the year, and learn the ins and outs of the business.
A year later, he and his business partner Marvin Cheng launched Lollicup in southern California. it was a surprise people were lining up.
Yu began to train other entrepreneurs to open their boba shops and, within a year, established Tea Zone, a wholesale line of bubble tea and beverage ingredients to sell to those shop owners. Within two years, the number of licensees quadrupled. there have been imitators also. instead of seeing them as a threat, Yu saw all of them as a part of a standard cause to teach Americans about boba.
Alan Yu and his business partner Marvin Cheung opened the primary Lollicup back in 2000

As his roster of clients grew, Yu saw the potential to provide them with quite just boba ingredients and become a one-stop supply shop. He then decided to invest in the cup making sector.. Easier said than done

In the beginning, Lollicup bought packaging material locally from domestic vendors, but Yu says the massive manufacturers scoffed at the number of their orders.
So in 2003, Yu started importing cups from overseas manufacturers. it had been not a simple solution. The international vendors had trouble matching the specifications of domestic products—the cups were thinner and lighter, and didn’t fit the available lids. that they had to liquidate the primary batch at a really low price. it had been later within the year that they overcame technical problems and nailed down internal control. Finally, they were able to sell these cups outside the boba business and under a replacement packaging brand called Karat.
The first trade shows they attended brought few conversions. The sales team had to travel back to the drafting board and find out what went wrong. They attended differing types of trade shows, and, everywhere they went, they asked questions
It took years, but they hung in there, slowly improving and adding to their knowledge.
Ironically, the business finally began to begin during the financial crisis of 2008. Suddenly, restaurants and food companies were looking to chop costs and appearance for cheaper alternatives, and Lollicup was able to sell to them.
Alan Yu, the founder and therefore the CEO of Lollicup USA:
“I believe that if this is often the proper path if we fail, we just rise and roll in the hay again. Find a special way.”

2 comments on “Bubble Tea is a successful investment field: Alan Yu example of success

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