Possibility of Sustainable Development of Genki Forest and Investment Decision Based on POCD Framework

DOI

10.2991/aebmr.k.210917.004How to use a DOI?

Keywords

Genki Forest, Venture Capital, POCD Framework, Chinese Beverage Market, Start-up Company

Abstract

Genki Forest is a trending Chinese beverage company that is focusing on sugar-free drinks such as soda pops and milk tea. Before investing in Genki Forest, a venture capitalist should carefully analyze the company. However, the traditional methods, including the debt-to-equity ratio, the valuation on cash flow, and the cost are not suitable for Genki Forest compared to the POCD Framework, which covers People, Opportunity, Context and Deal, since none of them can fully reflect other aspects besides the financial status. This study contains a detailed examination of the founder of Genki Forest, the opportunity it has in the Chinese beverage market, and the overall social context that might influence Genki Forest’s operation. Although there are some challenges that Genki Forest might face, such as low barriers to entry, and the unavoidable competition with the traditional beverage giants, the overall operating condition is still advantageous due to the rapid expansion of the Chinese beverage market. Therefore, after conducting this study, a venture capitalist should be confident about Genki Forest’s potential, and other beverage enterprises should consider studying or applying the same strategies from Genki Forest.

Copyright

© 2021, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

Download article (PDF)

TY  - CONF
AU  - Liying Liu
AU  - Junyao Mu
AU  - Zishi Wang
PY  - 2021
DA  - 2021/09/18
TI  - Possibility of Sustainable Development of Genki Forest and Investment Decision Based on POCD Framework
BT  - Proceedings of the 2021 International Conference on Financial Management and Economic Transition (FMET 2021)
PB  - Atlantis Press
SP  - 18
EP  - 24
SN  - 2352-5428
UR  - https://doi.org/10.2991/aebmr.k.210917.004
DO  - 10.2991/aebmr.k.210917.004
ID  - Liu2021
ER  -