The Study On Competitive Strategies Of B&D Xiamen Based On Value Chain Analysis

Since 1980's, more and more multi-national companies have set up manufacturing plants in China, to take the advantage of good quality and low cost of Chinese labors, favorable policies to foreign investment, and the huge China market, so that to change their value chains at those important strategic joints on purchasing, manufacturing, and sales, then create great profits. As one of multi-national companies, Black&Decker also invested in China and built up Black&Decker (Xiamen) Industrial Co., Ltd in 2006. It has been growing up quickly, achieved better performances on quality and delivery against other Asian suppliers. In front of opportunities and risks of US market decline, raw materials inflation, RMB appreciation and strong competitions from the others, B&D Xiamen needs to develop its competitive strategies to win future development. Based on Porter's competition strategy theory, the article describes industry 5 competitive forces and company SWOT and develops competitive strategies for B&D Xiamen.It includes 4 chapters. Chapter 1 is the introduction on Black&Decker company, the competition pressures of B&D Xiamen, and the theories used on this thesis; Chapter 2 is to analyze B&D Xiamen value chain and industry competition situation; Chapter 3 starts from B&D vision, analyzes company's SWOT and competitive advantages at the value chain joints of R&D, purchasing, manufacturing, sales, and service, and their competitive strategies; Chapter 4 is the implementation of competitive strategies.