How To Use The Product Life Cycle Theory In Fomei Commodity Analysis And Management System

Owning to the global economy goes down; the competition in retail industry is getting worse. Beyond this, now, China pays more attention on adjustment of economic and improving the living condition. The Chinese retail industry needs more chance to enlarge their market share.In this environment, price war wouldn’t help company to win, but brings a lot of finance burden. Sales of product with lower price mean more threats. Therefore, through the integration of internal resources, to strengthen the internal competitiveness may well be a viable solution.This paper will show Fomei as an example, that why and how to reconstruction commodity analysis and management, based on the product life cycle theory, commodity management theory and mathematical statistics theory. Before the company use these theories, how internal commodity management model brought huge losses to the firm because of the unshared resources and laissez-faire; according to the theoretical analysis, how to looking for the weaknesses in the commodity management system; finally, creating a new commodity analysis and management system.