Introduction of the '3B Model' including Borrow, Buy, and Build
CJ CheilJedang is strengthening its global nutrition ingredient business through a new B2B (business-to-business) product strategy.
On the 5th, CJ CheilJedang announced that it has introduced the '3B (Borrow, Buy, Build) business model' as a new strategy to enhance its nutrition ingredient product portfolio and has launched products applying this model. The 3B model consists of ▲'Borrow,' which sells suppliers' ingredients through CJ CheilJedang's brand and sales network ▲'Buy,' which creates synergy by investing in specialized research companies to secure business and sales rights ▲'Build,' which develops new nutrition ingredients using in-house technology.
CJ CheilJedang recently began expanding its portfolio by launching products applying the '3B model.' First, under the 'Build' and 'Borrow' models, it launched the functional biotics ingredient brand 'BiomeNrich.' Composed of seven types of probiotics and postbiotics ingredients, BiomeNrich was created using materials owned by CJ CheilJedang and those developed by domestic companies. Based on human application test results related to sleep, skin, muscle strength, and body fat, it is currently sold in the global market.
As the first case of the 'Buy' model, CJ CheilJedang invested in the Irish company 'Nuritas' and secured exclusive domestic sales rights for 'PeptiStrong,' a plant-derived peptide ingredient developed by Nuritas using AI technology. PeptiStrong has human application test results demonstrating improvements in muscle strength and fatigue during exercise and has obtained GRAS (Generally Recognized As Safe) certification from the U.S. Food and Drug Administration (FDA). It is manufactured in a facility certified with the global food safety standard FSSC22000. Currently, it is actively sold mainly in the North American sports and health functional food market, and CJ CheilJedang plans to supply it to the domestic market starting this month based on its exclusive distribution rights.
CJ CheilJedang plans to continuously discover excellent nutrition materials domestically and internationally based on the '3B model' and accelerate the growth of its nutrition ingredient business through this. A CJ CheilJedang official said, "We introduced a new B2B business model to meet segmented customer demands," adding, "We will become a leading player in the global nutrition market through various products based on the 3B strategy."
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