Focus On Competitive Differentiation Strategy Of. Plastics Engineering Plastics Business In China

The topic of thesis is Focused Differentiation Competitive Strategy Research of Plastics Company's Engineering Plastics Business Unit in China. The author deeply understood strategy management and used well the analysis method of macro-environments, industries, resources & capabilities and stakeholders. Base on the analysis result, the author developed the resources and methods of the strategy into action by Marketing management, Operating Management, Human Recourses Development and Management, Finance Management etc. The author fully analyzed the environments, resources and capabilities to modify weaknesses, utilize strengths, avoid threats and grasp opportunities, found the suitable focused differentiation competitive strategy matching with stakeholder expectations and accordingly collocated Company Culture, Organization Structure, Knowledge Management, Learning Organization, Innovation Management, Research & Development Management, Customer Relation Management and Total Quality management plans to ensure the strategy into action.Firstly the PEST framework was used to analyze the political & legal, economic, sociocultual, technological factors of macro-environment around Plastics company. Secondly the industries environment of Plastics Company was analyzed by industry value chain, industry life circle, strategic groups of industry, critical success factors of industry and the six forces dynamic framework. Thirdly the stakeholder expectations were found by analysis of stakeholders. Then the tangible and intangible recourses and capabilities of Plastics Company were analyzed by VRIO framework to identify and establish the company core competences for the sustained competitive advantages. Last but not least, the author integrated specific information and results by SWOT framework. Meanwhile the overall cost leadership, differentiation, focused low cost and focused differentiation strategy would be available to use according to the Strategy Clock. Finally the focused differentiation strategy was adopted because of higher efficiently matching with environments and stakeholder expectations.Base on the analysis mentioned before, Plastics Company chose focused differentiation strategy according to its strengths and features and formed specific procedures and policies after applying all kinds of knowledge and tools of management sciences. The key factors of focused differentiation strategy into action would be innovation, customer responses and quality. From the point of author's view, innovation capabilities would be the key of this strategy turning to success. Plastics Company will realize the technology innovation and management innovation via customer and innovation oriented company culture, dynamic-response organization structure, recognition and management of knowledge supply chain, creative learning organization and R & D management. Customer responses would be established on the platform of CRM to fully achieve interaction between Plastics Company and customers. It would be the point of quality assurance how to put PDCA into execution all through the TQM.