Research On Loader Competitive Strategy Of Liuzhou Engineering Mechanicism Company

Loader industry of china has achieved great development in recent years, sales rose from more than90,000in2005to more than210,000units in2010. A rapid rise in industry-wide sales at the same time, the industry deep integration. The market share of the major manufacturers in the industry to constantly change and all are facing serious challenges. Competition further intensified after2005, various international engineering machinery group really added to the Chinese market to snatch market share. Liugong loader lost the location of the industry sales in2007and2010, the first half of2011, facing a strong challenge from Fujian Longgong. So Liugong take what competitive strategy is particularly critical. Because Liugong not only have to face a strong challenge for the domestic counterparts, but also to face the attack from the multinational giants.The purpose of this paper is to explore Liugong competitive strategy that seeks to identify strategic measures to help Liugong obtain the advantageous position in market competition.The significance of this thesis is the analysis of domestic loader facing the industry competitive environment and the Liugong enterprise to their own circumstances, to explore and to find out a survive road for China’s enterprises in a competitive market environment, while give a certain reference for other enterprises within the industry.The method of this study use the mainstream methods of competitive strategy research. Through the analysis of domestic loader industry is facing the external environment (PEST analyze:political, economic, social, technical), the industry competitive environment (the analysis of major competitors and the industry five forces competitive model), Liugong corporate SWOT analysis (strengths, weaknesses, opportunities, threats), to find out the suitable strategy for China’s enterprises to survive in a competitive market environment through the implementation of the new competitive strategy, for high market share and higher than the industry average profit margins in the fierce market competition.This study concluded that Liugong in the moment the fierce market competition environment, competitive strategy must take the following three:1. concentrated offensive strategy;2. integration strategy;3. International strategy. Specific implementation of the strategy, according to the changes in the external environment and their own development stage resources, or take more than a single strategy or two or three portfolio strategies based on the results of the implementation of appropriate strategies to adjust and strategic control to ensure that their aim forward with the business goals.Innovations of the conclusions of the study is that in the current competitive situation, Liugong should focus on the advantages of resources to develop urgently needed in the national economic development, large loader machine and high-end parts to replace imported products, to give up some low-end market products such as small loader, etc.(enterprise must know how to give up), at the same time try to go further in international market.