China has changed from the surviving stage to the developing stage. In developing stage, the demand for life quality has increased, more and more people are participating in sports, thus new challenges has presented themselves in the development of sports nutrition industry. This paper uses research methods such as literature research, field research, case study, comparative study and others, in depth analyzes China' s sports nutrition industry, reaches conclusions as follows: First, the market demand of China’s sports nutrition industry is insufficient. Second, the number of the suppliers of sports nutrition in the market and the size of sports nutrition market are relatively small. Third, from perspectives of market concentration rate, barriers to entry and products differentiation, the current market structure of China’s sports nutrition industry is oligopoly. However, accompanied by the increase of number of competitors in the market and the expansion of the market size; the market structure will shift to monopolistic competition. Fourth, the experiences of western countries in research of sports nutrition, successful marketing strategy and strict governmental supervision and regulation will provide important reference in the development of China’s sports nutrition industry. Based on the conclusions above, this paper proposes the strategy thinking and suggestions for the development of China’s sports nutrition industry as follows: first, implementing the strategic restructuring. Second, it can enhance the research arid development of technology. Third, the brand is built. Fourth, the government should conduct system reform to ensure orderly competition and healthy development of sports nutrition industry by supervision and regulations.