The Study Of Vanke's Development Stragegy

Subprime Crisis emerged in America in 2008, had sent ripples across the globe.The Chinese government had made the decision to adjust the structure of industries as well as elevate the economy firmly.The companies in china face great opportunity and challenge. It is very imperative for them that How to make use of the opportunity occuring only once in a thousand years to get themselves stronger. Vanke carried through a strategic transformation from diversification strategy to specialization strategy. It focused on the real estate industry and peeled off large—scale of its businesses which Was not in the one. After that, Vanke rapidly became the biggest company in the real estate industry in china at the begining of 21st centry. The strategic development of Vanke is very representative and worth learning.According to the theories of strategic management, specialization strategy and core competence, this article studied and analysed Vanke's specialization strategy using the methods of systematic analysis, dynamic analysis and SWOT model. On the basis of reviewing the process of Vanke's development, it analysed the reason that Vanke chose specialization strategy, researched the strategies of the construction and mantance of core competence and studied the tactics of implementing the second specialization of Vanke. The aim of this article is to reveal the relevant elements about how does a company choose and implent its strategy in the specific changing business environment in china.This article draws to a conclusion that Vanke's success comes form the ability to grasp the opportunity well and truly, set down the strategy before the market trend changes and implement the established strategy.