Study On SGE Geothermal Company Development Strategy

China’s economy in21st century has witnessed rapid growth. With the arising of concepts such as sustainable development, scientific outlook on development, clean energy mechanism, and so forth, it has already become the major concern of China and the even the world to save energy, protect environment, as well as exploit and utilize natural resources in a rational way. With the rising inadequacy of regular energy due to limitations from insufficient natural resources as well as the increasing demand for economic development, and in order to alleviate energy shortage, it has constituted one of the effective ways to base on high-technology for the development of "new energy and renewable energy resources". Mankind, therefore, is vigorously exploring new energy featured by large quantity, renewability, and pollution-free. And the abovementioned three elements are well expressed by geothermal resources, which in short term can "supplement" regular energy, and in the long run are expected to become the "alternative energy", whose reasonable employment helps to effectively ease the tension of energy deficiency, and to lay a solid economic foundation of China.Relying on Sinopec’s brand, technology, fund preponderance, as well as the resources’ advantage in the district geothermal development, SGE Geothermal Company, with the introduction of the advanced concepts and technology from Iceland, sets geothermal energy as its core business, and develops district heating and cooling system, tropical aquaculture and cultivation, and hot springs, etc., so as to support local economy, and better residents’ living environment. As of the beginning of2012, the company has covered a heating area as wide as 600square kilometers, including the city of Xianyang, Shanxi Province, the city of Baoding, Hebei Province, the city of Jinan and Dezhou, Shandong Province, etc., and has provided citizens and enterprises and public institutions with6million square meters’ geothermal heating area, thus being one of the relatively large-scale and competent geothermal enterprises in our country. Based on human resources, oriented by resources, and buttressed by government policies, SGE Geothermal Company, with its scientific and sound corporate strategy, strives to build itself into a relatively large-scale and professional geothermal corporation within SINOPEC and even the whole country.Through analyses on the inner and outer environment faced by SGE Geothermal Company for its geothermal exploitation, this essay selects and formulates appropriate development strategies, and puts forward implementation measures, in order to offer scientific evidence for the corresponding decisions of the Company. The essay consists of the following parts:the first part as the introduction, mainly illustrates research backgrounds, the significance of the subject, research contents and methods, as well as the general structure; the second part sets forth the development of enterprise strategic theory in and outside China; based on SGE’s actual development situation, the third part adopts the SWOT-PEST approach to analyze the development environment of SGE; the fourth part puts forward an enterprise development strategy, and adopts SWOT approach to analyze SGE’s development; the fifth part sets forth the implementation of the strategy and provides evidence to support the enterprise strategy, in the sixth part, the author gives a brief summary to the whole paper and some suggestions.