| Ever since 1990s, a series of technical innovations have brought Chinese lubricating grease industry into a stage of comprehensive products in series, with its production basically capable of meeting the needs of domestic market. Also, the industry has achieved notable technological advances and development in that its production process, technology, and equipment are able to support its production satisfactorily, and that its respective standards for its products and their analytical and experimental procedures are basically inter-compatible. This industrial system of lubricating grease has made contributions to China's national economic development.In the wake of China's entry into WTO, Chinese lubricating grease market quickly got internationalized and became more restricted in terms of its chain of resources and industry-wide development on the international market. China's lubricating industry is confronting international competition in a real sense. In the first instance, shortage of resources has led to an increasing lack of lubricating grease product. An array of big enterprises are experiencing an unprecedented situation of supply behind demand, forcing them taking tight control over resources. This in turn is making small and medium-sized enterprises fatally short of resources. On the other hand, pattern of the whole lubricating grease market has changed dramatically and significantly. Enormous petrol corporations have gained more and steady market shares drawing on their comprehensive advantages of professionalism and integration. Large-scale multinational companies have accelerated their expansion within China. Taking this opportunity, "Shell" acquired "President" enterprise and laid a foundation for its upstream development. Similarly, SINOPEC and SINOPETROL also took advantage of the opportunity and speeded up upgrading their production ability. However, a number of small and medium-sized enterprises are currently stuck in the danger of stopping production for severe lack of resources and limitations in their own technology and management. Therefore, the unavoidable practical problem in the face of such small and medium-sized domestic enterprises now is how to get rid of their present difficulties and improve their core competitiveness.An enterprise depends upon strategies for its development and success. It also depends upon whether its strategies are right or wrong, which determines whether the enterprise can steadily grow and expand rather than fast proceed to its demise. What is even more paramount is the setting up and implementation of an enterprise's competitive strategies. An enterprise must establish its operational strategies and measures to implement them that are both appropriate in the industry's market environment and promising to win in market competition. Only in this way can an enterprise gain a place in fierce market competition and stay invincible.With Hualu Industrial Company Limited as an example, the analytical method of strategy management, the SWOT method in particular, is adopted. What is analysed is the external environment the company is facing, including macro and industrial environments and the company's rivals. The intra-company analysis includes such aspects of the company's production, marketing, and management. Suggestions on the company's competitive strategies are made with reference to the basic principles, procedures, and methods of strategic management. Additionally, issues deserving attention in implementing the strategic strategies, with an aim to try helping the company out in resolving its current varieties of problems.This paper is designed to offer practical assistance to the company in its current operational status and when it establishes its future strategies, as well as to offer some ideas for the company's future development. Meanwhile, it is expected that the assistance offered to the Lubricating Grease Factory under Hualu Company can be revealing and helpful to other similar enterprises, too. |
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