Bringing Peace To The Company's Diversification Strategy

After entry into the WTO, Chinese traditional pharmaceuticalcompanies (CTPC) face fierce challenge and extensive developmentspace. Every CTPC manager have to consider those problems that how toforce his company to obtain continuous innovation in addition toinheriting the original advantages of Chinese traditional medicine andhow to gain the stronger competition ability in the new period than ever. In the background of globalization this paper analyze at length theextemal environment opportunities and threatens of Hunan Antpowerpharmaceutical company, examine the advantages and disadvantages ofthe company, practically and feasibly choose diversified developmentstrategy on the basis of clarifying and improving the present strategy, andoffer propose and choice reference for its diversified developmentFirst, the paper systematically classifies diversified strategy theoriesand related theories as well as distinctly defines the definition andconnotation of diversified strategy. It also summarizes the developmentprocess of strategy management by adopting classical strategymanagement theory, industrial structure analysis theory and resourcefoundation analysis theory. What's more, it analyzes the motivation whyenterprises employ diversified strategy and the risk that they must facebesides discusses ways and means that enterprises bring diversifiedstrategy into effect.Second, the article analyzes in detail the present status thatAntpower execute its strategy and evaluates objectively the good and bad of the present strategy by reviewing the company's development course.Meanwhile, it sums up effects because of Antpower's implementingincorrect strategy and phenomena in the business operation of thecompany from these aspects such as new medicine research anddevelopment, medicine production, market, human resource managementand so on.Third, the study practically and realistically researches not only theenterprise external environment under macro external environment andmedicine industry environment but also the enterprise internal conditionin the light of factors itself, including human resource, production ability,R&D ability, corporate culture etc. The study summarizes the enterprise'sadvantages and disadvantages and expresses accurately the opportunityand challenge that the enterprise is encountering as well.Finally, the paper adjusts and perfects Antpower company mission,establishes the company's general development strategy that is relateddiversified strategy and vertical diversified strategy by making use ofSWOT analysis result, and makes Antpower's strategic target much clear.Moreover, it daringly predicts difficulties that Antpower will suffer inimplementing diversified strategy process, and purposefully puts forwardsolutions that can work.