Company: DDC
Filing Date: 2025-07-22
Form Type: F-3
Source: 0001213900-25-066342
Chunk: 57

Company: DDC Enterprise Ltd
Filing Date: 2025-07-22
Form: F-3
Chunk 57
---
 the RTC and RTE food industry, which is highly competitive, and the competition may further
intensify. Some of our competitors, may have been in their respective businesses longer than we have and may have substantially greater
financial, research and development and other resources than us. We also cannot assure you that our current or potential competitors will
not market products comparable or superior to those we provide or adapt more quickly to evolving industry trends or changing market demand.
Our competitors in certain regional markets may also benefit from raw material sources or production facilities that are closer to these
markets. It is also possible that there will be a consolidation trend in the RTC, RTE and plant-based food industry, integration of upstream
and downstream businesses or alliances among competitors; and as a result, our competitors may rapidly acquire significant market share.
Any of these events may cause our market share, business and results of operations to be adversely affected.

<div align='center'>31</div>

Furthermore, competition may
cause our competitors to substantially increase their advertising and promotional activities or to engage in irrational or predatory pricing
behavior. We cannot guarantee that our marketing efforts will be sufficient to compete with our competitors. An increase in competition
could require us to continue to increase our promotion and advertising expenses, which might place pressure on our margins and affect
our profitability. Additionally, competition may result in price reductions, reduced margins and loss of market shares for us, any of
which could have an adverse impact on our results of operations. We also cannot assure you that our competitors will not actively engage
in activities, whether legal or illegal, designed to undermine our brands and product quality or to influence consumer confidence in our
products.

The RTH, RTC and RTE industry
is intensely competitive with respect to, among other things, brand recognition, flavor, product quality and consistency, services, prices,
availability, selection and accessibility. Furthermore, new competitors may emerge from time to time, which may further intensify the
competition. In particular, competitors may start to offer products that are similar to our products. There are also many well-established
competitors with substantially greater financial, marketing, personnel and other resources than ours.

Our ability to effectively
compete will depend on various factors, including the successful implementation of our sales network expansion strategy, and our ability
to improve existing products, to develop and launch new products, and to enhance production capacity and efficiency. Failure to successfully
compete may prevent us from increasing or sustaining our revenue and profitability and potentially lead to a loss of market share