A Study On The Strategy To Choose And Put Into Practice The Enterprise Low Cost Strategy

The energy missing, management behind schedule and the high product cost usually appear in my country enterprise. How to control cost availably, acquire most benefits, is a problem need to solve now. The strategic cost management is current of the world cost management, it's purpose is to establish long last of cost advantage, to bear enterprise different strategy, and it's lack of in my country enterprise. Regarding Lan-zhou new western limited company as the example, the choice and putting into practice of the enterprise low cost strategy where study. In the circumstance of the energy missing, original material markup, enterprise competition turn worse, product cost increase, this article think that the enterprise should choose the low cost strategy first, then bring up related strategy how to put into practice. The strategy is to establish the strategic cost management system, acquire long last of cost advantage.This article first performed to the theory of strategic management and strategic cost management to outline, then has analyzed the inside and outside circumstance of Lan-zhou new western limited company, pointed out the strengths, the weaknesses, the opportunities, the threats. By SWOT method, based on the circumstance of Lan-zhou new western limited company, this article pointed out that the low cost strategy is the only one that Lan-zhou new western limited company can choose. By the strategic cost management, the low cost strategy could be put into practice, including modern cost idea, value chain analysis, cost driving analysis, standard cost system, and evaluation of the strategic cost management outstanding achievements. And the concrete measure also was suggested. The study of the choice and putting into practice of the enterprise low cost strategy has the actual guiding sense to other enterprises, and especially to PVA profession enterprises in our country.