Research On Diversification Development Strategy Of HQC Group

This thesis focuses on the diversification development strategy ofHQC group by making use of theories,analytical tools and cases aboutstrategy. According to the idea of what the problems are,how they areproduced and how to solve it,the thesis proceeds its analyses.Finally,thesuggestions to HQC group are carried out.Based on it, the generalapplications to other diversificated coporations are also acquired.First,the thesis is to review diversification development stragegytheories about its definitions,motives,decision-making mathods anddevelopping trends.It tries to explain that the research aboutdiversification is very important under the circumstances of Chineseunique market.Second,the profile and development on HQC group are introducedbriefly.Then,four important problems about strategy are raised.Such asthe portfolio is defective and most business are low profit rate with lowgrowth.The whole company is violent for steady business are lackcomparability.The company indulges in excessive synergic strategy.Thefinancial plat can t disperse risk of the whole group. Surrounding the four core problems,the thesis uses four analyticaltools accordingly.They are Market Attractions-Corporation Competetiontools,Profitability-Fluctuation analytical tools,Synergic value-Synergicrisk analytical tools and Operating Character-Financial Charactertools.These four tools help find out the essence of above problems.At thesame time,they also bring about the solutions.The four tools form theselection standard of business and development mode,which give theguidance to the HQC s future strategy.The methods used by the thesis not only come from OCT group butalso are helpful to other diversificated corporation.Most diversifiedcorporations intend to come into existence the four problems.To avoidabove influence,the corporation can uses the methods and tools broughtby the thesis.