Study On Competitive Strategy Of M Company's Memory Controller Chip Business

After the incident of ZTE,the IC industry has aroused great attention in China.Under the general trend of industrial transfer,as well as the combined action of national policy guidance and market demand,the number and scale of domestic integrated circuit enterprises show a rapid growth trend.As a subdivision of integrated circuits,the memory controller chip is a hot subdivision category of integrated circuits due to the drive of data storage demand of electronic equipment and its market size is growing geometrically.As a domestic start-up of memory control chip,M company is faced with an important task of how to select product selling points,build product lines,improve business model,allocate resources and give full play to its core competitive advantages under the existing strong competitors.It is urgent and important to develop an effective business competitive strategy and ensure its efficient implementation.Firstly,by using PEST model,Porter's five forces model and other methods and tools,this paper analyzes the macro environment and the memory controller industry environment in detail,and concludes that,brought by the external environment,the opportunities include the support from policies and the market demand with rapid growth,and the threats include strong international competitors and rapidly evolving technology requirements.Four key industry success factors including technology team,product quality,iteration pace of technology update,and storage resources were also identified.Then,this paper researches and expands the M company's internal resources and capabilities,and uses the value chain model to analyze its core competitiveness,it is concluded that the enterprise existing advantages including technical team and available resources from strategic cooperation,disadvantages including brand awareness is not high,and storage resources conformity ability is not enough,the enterprise's core competitiveness finally mainly including technical team and the integration of technical resources.Finally,this paper uses SWOT analysis tool to discuss and summarize the possible strategic options for M company.Combined with the present situation of enterprise team with rich experience in processor development,but enterprise scale is relatively small,the paper finally confirmed to take focused differentiation strategy,focus on the embedded application for industrial control industry segments to provide differentiated products and technical services,to be a leader in industrial control industry embedded storage solutions.Based on the actual situation of the enterprise,the paper puts forward the near-term action plan and safeguard measures for the strategy implementation.The near-term action plan includes accelerating customer development,relocating forward R&D staff,gathering mass production issues,accelerating product iteration,and implementing management by objectives.The strategic safeguard measures include the establishment of employee equity incentive system,establishing project management and customer service departments,strengthening the competency training of supervisors,improving the ability of demand discovery and product planning,enhancing the ability of resource integration,attaching importance to knowledge management,establishing an information sharing platform with suppliers,and promoting the enterprise culture of achievement sharing and goal orientation.