The Entry Strategy Of Z Company In Shenzhen Construction Market

The construction industry is an important pillar for national economy and socialdevelopment, bearing modulation function by each government. The development ofconstruction industry brings direct impact on the operational state of the national economy.With the intensification of market competition and the growth of economy as well,construction companies will face more challenges and opportunities. Upon such environment,more and more construction enterprises stress on strategic management, which becomeinevitable choice to the development of whole construction industry.Accredited with general contracting qualification of housing construction, the ZConstruction Co. at present is the largest single corporate enterprise in China, pioneering theimplementation of the regional operation. Headquartered in Guangzhou, its7th regionalcompany is responsible for market operation and management of Guangdong and Hainanwith branches in Zhongshan and Hainan. With the rapid economic development, thecompany has been trying to develop Guangdong region and now focusing its attention on theShenzhen market. Considering the needs and future development trends in Shenzhen, as wellas the company’s own resources and capabilities, the company raises strategic planning forthe access of Shenzhen by setting up branch.Upon the analysis basis of on-site research data, the dissertation adopts classic strategicmanagement analysis methodology, such as PEST Analysis Model and Porter’s Five ForcesCompetitive Analysis Model, to look into both internal resources incl. resources&capabilities of Z Company and external resources incl. macro-environment, industryenvironment and entry barriers. Upon above analysis, the dissertation advises to set up newbranch in Shenzhen market and reposition target customer group. To gain market share, thecompany is to stress on project quality, branding management, establishment of enterprisecompetitiveness, key account management and product differentiation. Finally, thedissertation defines the step goals of the strategic implementation as well, including theadjustment of the organizational structure, personnel support, and regional business units’ support. Meanwhile the dissertation raises preventative inputs for possible business risks,which offers valuable reference for the decision-makers of enterprises.At the same time, the subject is providing certain reference as well for other constructioncompany when facing new opportunities and threats. Therefore, the subject also is good atpractical operation...