Study On Development Strategy Of China Railway 2^th Group Urban Rail Transit Company

Under the market competition conditions, it is very essential to carry on the strategic management. By doing this, China railway 2th group urban rail transit company can get a clear direction for its development and the construction. What's more, it also let the company allocate all resources in the most effective way. So, the company could have the best economic benefits, impelling itself developing in a good and quick way.Following the development of the urban rail transit system, China railway 2th group urban rail transit company is dedicated to the "flagship" urban rail transit system,municipal underground projects and trenchless technology fields, becoming the general contractor and the integrator in those fields. To achieve those goals, having a clear strategy is of great importance. It is very helpful to standardize corporate management, reduce costs and master the vanguard technology to realize this strategy. And then, the company will be the profession leader in its business. Influenced by the outside enticement, some of the company's managers begin to waver in the development direction. The main reason is that the company's strategy is not clear enough. In other words, the measure implementing the strategy is not able to catch up with the strategy needed for further development. The company is facing various problems, such as low management standard degree, high overhead charge, unsafe project quality, lack of human resources and equipment and so on. Those problems have restricted the company's further development. Therefore, carrying on the study on developmental strategy is essential.This paper analyzes the demand of the urban rail transit market, recent investment, method segmentation, and other company's equipments. It also contains the analysis of the outside macroscopic environment, profession environment and advantageous internal environment faced by the company. Base on those materials, the company's strategy is summarized as follows: appropriate correlative multiplicity strategy, namely concentrating in the urban rail transit market primarily and developing municipal underground projects and trenchless technology fields moderately, adopting low-cost strategy and differentiation strategy in the service layer.Having a clearly defined strategy and carrying out each measure comprehensively are important for the company's development and the achievement of the goal. On the other hand, efforts should also be put on establishing prompt summary, perfect mechanism and melting all risks faced.In brief, the company should insist in low-cost strategy and differentiation strategy, and rely on the strength of the parent company and itself. And only in this way can it have a bright future.