Research On Development Strategy Of Fengfeng Group Co., Ltd.

Coal is one of primary energy resources for the development of the world. In china, the percentage of coal utilization in energy use is up to 70%. Therefore, coal industry is one of pillar industries of our nation.Fengfeng Group Co.,Ltd, a large-sized state owned corporation with nearly fifty years'history, is mainly engaging in coal mining. At present, as coal resources are decreasing and pits are aged in mine, there are some difficulties in the corporation's operation and development.The paper is the comprehensive analysis on the basis of deep understanding about the corporate strategy's connotation, using the product-market strategy theory, the strategic resources and nucleus proficiency theory, value chain theory and Potter generic strategies, through the macroscopic, professional, regional outside environment and resources, industrial basis, development capacity etc inside factors. Take all these inside and outside resource conditions into consideration, and make SWOT comprehensive analysis on the basis of enterprise's favorable factors, negative factors, advantages and disadvantages'acknowledgement. Put forward the personal idea about the Fengfeng Group Co.,Ltd's multi-outlet industrial development strategy: to tap the internal latent power of the group and carry out external expansion in the coal industry; and make the coal base industry stronger and bigger; to make transformation of the enterprise to continue to develop, and push forward the whole body of the enterprise step by step, so as to strengthen and develop a new basic industry. Then formulate the concrete development targets. At the same time, refer to the safeguard for carrying out the strategy and preferential policies should be asked for.Fengfeng Group Co.,Ltd should at first pay attention to its potential capacity, and using owned resources, including human resources, financial resources and advantages about raw materials, etc. Overcoming market disadvantage, using the inside-outside lines production distribution, develop the main business-coal mining. Through modes of the power-coal pool, coking contract production system and strength-building materials system, search the multi-outlet development strategy step by step. Meanwhile, Fengfeng Group Co.,Ltd also should put forward the innovation in property right and images of organization. Through carrying the capital operation strategy out, build HR exploitation, technical Innovation and modern marketing systems. And through cultivating the competitive corporate culture, make sure strategic targets become true. Government departments at all levels should provide policy support to help the corporate separate secondary lines of business from core business, be free from social functions, speed up the bankruptcy of aged pits, have privately-run railways and share capital in state owned railways, in order to reduce the cost.