Company: DDC
Filing Date: 2025-10-24
Form Type: F-1
Source: 0001213900-25-102214
Chunk: 31

Company: DDC Enterprise Ltd
Filing Date: 2025-10-24
Form: F-1
Chunk 31
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 is subject to competitive and other pressures, and there can be no assurance that retail stores will provide sufficient space to enable us to meet our growth objectives. We rely in part on third-party distributors to place our products into the market and we may not be able to control our distributors. We rely in part on third -partydistributors to sell our products. Purchases by distributors account for the substantial majority of our sales. As we sell and distribute our products through distributors, any one of the following events could cause fluctuations or declines in our revenue and could have an adverse effect on our financial condition and results of operations: •reduction, delay or cancelation of orders from one or more of our distributors; •selection or increased sales by our distributors of our competitors’ products; •failure to renew distribution agreements and maintain relationships with our existing distributors; •failure to establish relationships with new distributors on favorable terms; and We may not be able to compete successfully against larger and better -fundedsales and marketing campaigns of some of our current or future competitors, especially if these competitors provide their distributors with more favorable arrangements. We cannot assure you that we will not lose any of our distributors to our competitors, which could cause us to lose some or all of our favorable arrangements with such distributors and may result in the termination of our relationships with other distributors. In addition, we may not be able to successfully manage our distributors and the cost of any consolidation or further expansion of our distribution and sales network may exceed the revenue generated from these efforts. There can be no assurance that we will be successful in detecting any non -complianceby our distributors with the provisions of their distribution agreements. Non -complianceby our distributors could, among other things, negatively affect our brand, demand for our products and our relationships with other distributors. Furthermore, if the sales volumes of our products to consumers are not maintained at a satisfactory level or if distributor orders fail to track consumers demand, our distributors may not place orders for new products from us, or decrease the quantity of their usual orders. The occurrence of any of these factors could result in a significant decrease in the sales volume of our products and therefore adversely affect our financial condition and results of operations. 18 Adverse publicity involving us, our products, our raw materials, our directors, our management team, our competitors or our industry could materially and adversely impact our business and results of operations. The food industry in China and the United States is particularly sensitive to concerns over food safety and quality related issues and can be materially and adversely affected by