Core Viewpoint - The recent resignation of Zong Fuli from Wahaha Group and her establishment of a new brand "Wawa Xiaozong" indicates a significant shift in the company's leadership and branding strategy, amidst ongoing internal turmoil within Wahaha Group [3][4]. Group 1: Company Developments - Zong Fuli has resigned from her positions as legal representative, director, and chairman of Wahaha Group, with confirmation from the company regarding her departure [3]. - The new brand "Wawa Xiaozong" has been registered and is positioned to enter the sugar-free tea market, which is highly competitive with established brands like Nongfu Spring and Coca-Cola [4][5]. - The internal document from Wahaha Group indicates a strategic shift towards the new brand due to compliance issues with the Wahaha trademark, suggesting a long-term plan for brand transition [4]. Group 2: Market Challenges - Analysts highlight the intense competition in the beverage industry, suggesting that Zong Fuli may underestimate the challenges of establishing a new brand in a saturated market [5][6]. - The timeline for brand recognition and acceptance is lengthy, with significant hurdles in securing distributors and ensuring product turnover, which may hinder the success of "Wawa Xiaozong" [6]. - The brand's initial focus on the beverage sector raises questions about potential competition with Wahaha's existing product lines, complicating market positioning [5].