Industry analysis: Small industries, big markets, marketing is king. The chicken essence and chicken powder industry is a rapidly developing emerging industry. Under the huge consumer market in China, there will be huge room for growth in the early stages of development and growth stages. The rapid development of the domestic condiment industry will drive the development of the chicken essence and chicken powder industry, and the chicken essence and chicken powder industry is also expected to surpass the average growth rate of the condiment industry and form a major replacement for MSG. At the same time, energy saving and emission reduction may accelerate the elimination of lagging production capacity of MSG, which is beneficial to chicken essence and chicken powder; currently, the core barriers and competitive points of the industry still lie in marketing. Company analysis: It is expected that relatively rapid growth will continue in the long term. The company is known as the number one national brand in the industry. North China is the main market, so it can share the benefits brought by industry growth and expand market share. Currently, the overall market share is ranked third, but there is a big gap with one or two places. In recent years, the average growth rate of revenue has been above 50%, and the average growth rate of net profit has been above 100%; the company uses a vertical integrated processing model for raw materials, and is processed by itself for key semi-finished products, which can effectively control production costs. Competitive advantage: proper positioning and differentiated marketing. The company adheres to the position of “mid-range price, mid-range and high-end quality”, adapts to the mainstream needs of the market, and also matches the company's “inadequate comparison, more than comparable” position; the company implements market segmentation and flat operation, and has gained a strong competitive advantage in the second- and third-tier cities and rural markets. Under competitive advantage, the total number of Tier 1 dealers increased rapidly from 280 at the end of 2007 to 668 in the first half of 2010, and the number of sales regions increased from 172 to 325. Fund-raising projects: solving production capacity bottlenecks and enhancing core competitiveness. The company's fund-raising projects include a 20,000 ton chicken essence and chicken powder production base construction project, a technology research and development center construction project, and a marketing network construction project. This will help resolve the company's production capacity bottlenecks, ease production pressure at full capacity, enhance competitiveness in marketing and R&D, optimize the company's financial indicators, and ease financial pressure. Profit forecast and valuation: The company's EPS for 2010-2012 is expected to be 0.57 yuan, 0.70 yuan, and 0.94 yuan. The industry in which it is located has great development opportunities, and the company can share industry profits. It remains to be seen whether a successful listing will lead to a qualitative breakthrough and thus narrow the gap with the first and second place. As of now, the company's core competitiveness needs to be strengthened. The company's issue price is 32.0 yuan, and the target price for the first day is expected to be 36.8 yuan. Risk factors: Systemic risk of industry growth, competition for market share by industry competitors, corporate management risk.