Longkou Mining Group Development Strategy

Under market economy conditions, an enterprise is an open system. Only when an enterprise is always aware of the external environment on which its existence and survival depends, understands deeply its internal conditions, pursues the advantage and avoid the disadvantage, develops its strong points and avoid its weak points and formulates its future development strategy can the enterprise establish itself in an invulnerable position in the competition that is becoming more and more furious.Longkuang Group, located in Longkou Development Zone of Jiaodong Peninsula Shabndong and bordering Bohai Sea, is the only coastal coal enterprise in China with the temporary location advantage. But due to the sharp decline of its coal resources, threat by the substitution with Bohai Sea natural gas and inflow of coal from other provinces and other areas of Shandong etc., how to define an enterprise's development orientation and business scope has become a problem that has to be settled urgently.This paper investigates the enterprise's resources of Longkung Group, analyzes in detail its external environment and internal conditions, finds its external opportunity and threat and its internal advantage and disadvantage, combines the enterprise's strategic target and determines the development strategy of Longkuang Group as follows: adhere to the principle of taking the coal industry as the main stay, developing the diversified economy and developing in an all round way, make the coal industry stronger and bigger and bring along the non-coal industry, expand and upgrade the non-coal industry, actively participate the market competition, gradually substitute for coal industry and build a large, strong and competitive enterprise group with the coastal characteristics.