Sme Product Differentiation Strategy Research

Differentiation strategy is the important dependent path for medium/small-sized enterprises to survive and develop, and is also the key for them to get success in the market competition. Therefore, building reasonable model to select differentiation strategy is not only the need of the medium/small-sized enterprises to develop, but also the necessary choice for our country to realize the balanced economy development.This thesis firstly sets forth the important status of medium/small-sized enterprises in our national economy and the necessities for them to select differentiation strategy. Then, it discusses the mechanisms of differentiation strategy formulation for medium/small-sized enterprises, analyzes the major problems during the differentiation strategy implementation and the reasons of bringing them into being. Furthermore, it uses the "Hotelling Model" to analyze the superiorities of differentiation strategy. It gets the conclusions from the research as follows: (1) differentiation strategy is the necessary path for medium/small-sized enterprises to survive and develop; (2) the persistent competition of medium/small-sized enterprises can not be sure to form by the single superiority of resources, abilities or market orientation; (3) it is needed for the medium/small-sized enterprises to form reasonable thought of selecting differentiation strategy.This thesis mainly uses the normative and empirical methods to do the research. The purpose is to provide a kind of synergy thought of differentiation strategy as a reference for medium/small-sized enterprises. That is to say when selecting the differentiation strategy, the medium/small-sized enterprises should fully integrate their strengths, rivals' weaknesses and client values, and then, build the integration model of differentiation strategy for themselves.