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International Courier Company In China's Development Strategy Study

Posted on:2001-08-22Degree:MasterType:Thesis
Country:ChinaCandidate:X ChenFull Text:PDF
GTID:2206360002452984Subject:Business Administration
Abstract/Summary:PDF Full Text Request
20th century brings excellent opportunities for world trade and economy. With the development of international trade, many new industries begin to spring up and international air express is one of them. Actual documents and parcels are always needed to be transported form one place to another to assist the fulfilling of the business contracts. As the speeding up of whole society rhythm, more and more people prefer to choose efficiency rather than saving costs. The booming of courier industry is attributed to the great need of getting information in shorter period of time.International air express company provide door to door (DTD) service. Network cooperation is of great important for such kind of companies. The core advantage of them is their global network which includes ground net, air net and information network.An in depth analysis is made on the development strategy in China market taking the example of several international air express companies of DHL, etc. The thesis consists of the following four parts:1. The background of the industry.2. The competitive strategy in China market.3. The facing problems for those companies in future.4. SummarySince 1970s', international air express experienced a rapid growth around the world. On the one hand, this is resulted from the development of international trade, on the other hand, the supply chain revolution of manufacturing industry, big customer for express also bring great opportunities for them.International air express companies entered China in 1980 and focused on international business since then. They are major competitors of EMS.During the past twenty years, China begins to open her door to the outside world. The foreign trade grow rapidly which promotes the domestic need of this service. In the meantime, the success of those companies' competitive strategy also helped them to gain high profit from China market. We can see this from the following points:1. Successful segmentation. International air express companies' advantage exists in their global network while they need to take time to build their domestic network in China. Therefore, they focus on international business to gain competitive advantage.2. An acceptable price vs. service. The international air express companies enhanced their competency through price competition and service improvement.3. Take full use of network resources. Network resources is of great value. They use network advantages to build up their domestic competitive advantages.It is true that the international air express companies made great success in China market in the past two decades. However, the marketing is changing and there are always new problems. It is worth thinking about the following strategic questions:1. To master the nature of air express service. This will help to predict the future of the industry and figure out the potential customers.2. The development of communication technology has impacted the traditional express business and changed the product contribution. It will promote the needs of logistic service which is a new business for express companies. 3. The business environment will change a lot after China's entering into WTO. The structure change of domestic industry will result in the position change of current foreign oriented industries and cities. In addition, there will be more foreign and domestic companies coming into this area due to government policies' loosing. Under such circumstance, Joint Venture is still the best choice to conduct such business in China for quite a long time.4. The customers' needs are of great variance while they prefer a 'one-stop-shopping' solution. The resource one company has is limited and alliance is important for the success of all companies.Customer needs are the only reason for company development. It is important for every company to keep his eyes wide open to meet the needs the ever changing needs of the customers in time.
Keywords/Search Tags:International
PDF Full Text Request
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