In Food Oils And Fats Business Development Strategy

Well-known companies can not thrive for years relying only on its strong economic power and rich resources; they have to formulate and implement visionary company strategies for sustained growth and development. For over a decade of continued efforts, COFCO Oils & Fats business has become one of the largest among its rivals in China. With the changing environment and intensified competition, it is important for COFCO Oils & Fats to review and study its strategy and conduct strategic management to retain the company's competitive advantage and sustained growth. One of the key tasks of strategic management is to find the dynamic equilibrium among three factors -external environment, internal condition and business goals -in the ever changing and complex internal and external environment. The COFCO Oils & Fats is selected as the research object of this paper. First, we presented and analyzed the status-quo and prospects of China oils & fats market; followed by a discussion of the company's external environment (including the impact of China's entry into WTO, market development, and industry competitors) and internal conditions; internal strengths/weaknesses and the external opportunities/threats, using Porter's five forces model and SWOT matrix. Next, we proposed five-year strategic goals and implementation strategies for COFCO Oils & Fats. In view of the previous industry and company analysis as well as the company's mission and goals, we presented and elaborated our strategic management ideas for COFCO Oils & Fats with regards to business integration, expansion strategies, product innovation, financial management, and information system development.