Study On Industry Selection Of Taizhou Expressway Company

Highway industry refers to the highway as a link to provide a collection of services producer for the passage of vehicles. It components of highway construction, operation and maintenance , involved in the derivatives industry which dependent on the highway. Highway industry is a basic industry of national economic development due to which shoulder a transport function. In the new historical period, highway industry will play a very key role in the process of industrialization in China with the rapid development of China's logistics industry and the frequent economy trade throughout areas . However, the quasi-public goods nature of road sector lead to the Government's management to all highway enterprises which are facing the conflict between sustainable development and the limited nature for charges. Taizhou Highway Construction Co., Ltd. is a powerful state-owned enterprises, because of the special nature of highway enterprises, facing the policy constraints and the market impact of changes, the company decided to make cross-industry business transformation timely, to achieve their long-term development. Business transformation is a complicated systematic project with high-risk, higher degree of irreversible characteristics. Therefore, how to make a timely, scientific and effective industry choice to smoothly achieve a transition goal, become a important subject of corporate business restructuring practice.On the basis of research to the home and abroad status, this paper make system analysis ranging from the practical proposition of how to choose industry as a enterprises, puting important on Taizhou high-way industry choice, along the "Why choose - how to select industries - choose what industries -- Target sectors evaluation "as the main line. First, according to the reality of Taizhou high-way with Porter's competitive strategy related to the theory of basic principle, using PEST, SWOT, five-force model, BCG tools, paper analysis business conditions of Taizhou high-way, including internal and external business environment and its own capacity . Analysis concluded; Taizhou high-way needs restructuring urgently due to its future are not clear. Plus, enterprises has the ability to cross-sector restructuring with advantages of capital, entrepreneurial strengths and brand. Then, paper brings out the important industry selection idea including the principle of choice, the choice of direction, the choice of key factor, and so on, based on Taizhou high-way reality, with growth law of enterprises, and the relevant of resources and capabilities - attractive weigh criteria. Third, paper analysis competitive environment of the target industry(real estate, mining, hydro-electric power industry) useing data analysis, qualitative and quantitative analysis, empirical analysis. Paper bring out the industry choice indicators on the basis of full understanding and five-force model, the principle of the lever and the mother of theoretical advantages. Finally, paper construct target industry evaluation model using FD and the fuzzy comprehensive evaluation, that is highway, real estate, mining, hydro-electric power industry can expand as the company's business sector, hopeing to provide a reference s for decision-making of Taizhou high-way industrie selection.