Strategy Transformation Through Cultural Tradition Innovation - A Case Study of Fenjiu Group of China Time-honored Brand

This paper sums up the theoretical logic of cultural tradition activated in China Time-honored Brand (CTHB), and constructs a SRIC loop based on strategy, resources, innovation and capability in order to explain the function mechanism of the cultural tradition innovation. According to this research framework, it makes an exploratory case study of Shanxi Xinghua Cun Fenjiu Group(Fenjiu). The research conclusion shows: Resource Activated View (RAV) can describe the process of rebirth of Fenjiu, and a SRIC loop exists in every stage of strategic development illustrating the relation between strategy transformation and cultural tradition innovation. The theoretical contribution of this paper is: putting forward the RAV, and the concept and process of cultural tradition innovation, and trying to construct the core of cultural tradition in CTHB.