The Research On Competitive Strategy Of PICC P&C Shandong Branch

PICC P&C Shandong Branch is the largest non-life insurance company with the longest history in Shandong China.In its practice of serving the overall economy and customers, PICC P&C Shandong Branch has created and consolidated its competitive advantages as a market leader.With the rapid increase of market entity in insurance industry, the competition in Shandong District is becoming more and more fierce. Although PICC P&C Shandong Branch possesses major share of the Shandong insurance market, it faces many difficulties and challenges.Enterprise Competitive Strategy is the effective way to raise enterprise competition.Hence,to create enterprise’s competitive strategy based on its own external and internal environment is significant.Based on the relative theory of Competitive Strategy,the paper has a comprehensive and systematic study on competitive strategy of PICC P&C Shandong Branch.It draws a conclusion that differentiation strategy is the best choice to PICC P&C Shandong Branch. Through it,the enterprise can improve the competitiveness in the market to maintain the advantage in the fierce market competition.First of all,the paper analyses the macro environment,mainly with the point of Political,Economic,Social and Technological.And the paper use Michael Porter’s Five Forces Model to analyses competitive insurance industry in Shandong District.Through the analysis of Pin An Property Insurance Co.1td,China Pacific Property Insurance Co.ltd, the paper concludes the external opportunities and challenge.Secondly,the paper analyses the internal advantage and disadvantage from the resources(brand、capital、 network、service、customer, etc) and capabilities (risk control、innovation、marketing). Based on this, the paper points that differentiation strategy is the best to PICC P&C Shandong Branch through the SWOT analysis and optional Competitive Strategy. In the study the paper not only focuses on price competitive alternatives in the strategy formulation,but also emphasizes the distinction between different markets.Besides,it points out the importance of avoiding the conflict of traditional channels and new channels.It is where the innovation of this paper lies.At last, the paper elaborates the ensurement to Competitive Strategy of PICC P&C Shandong Branch, including Optimization of Operation and Management, Human resources Management and Promotion of Enterprise Culture.