Research On Differentiation Strategies Of Citic WT Securities

Competition is a historical category in close contact with commodity production and market economy. Securities companies in China have long been in the seller’s market status, especially in the initial stage of securities trading when securities products often have a situation of oversupply, resulting in the general lack of competition consciousness in the present securities market. The one-way information flow mechanism is the most salient feature of the securities brokerage business under the seller’s market mechanism. At this stage, securities companies lack the sense of strategic management and financial services due to the limited needs of customers for basic financial services and deficient financial means. In other words, it’s up to the securities firms to decide what products or services to provide for customers, therefore most of them pay little attention to customer needs.This paper starts with the analysis of market competition theories with an overview of the relevant theories of differentiation strategies, providing important theoretical basis for the development of differentiation strategies of CITIC WT Securities. And then, the PEST analysis model and Porter’s five-force model are used to analyze the internal and external environments of CITIC WT Securities with emphasis on its present business status and problems. On the basis of SWOT analysis, coupled with the competition CITIC WT Securities faces in the market and its own internal resources and strength, its differentiation strategies are put forward, including product differentiation, service differentiation, market research differentiation, brand image differentiation, capital scale differentiation and resources allocation and cost control differentiation. After that, this paper focuses on the implementation of CITIC WT Securities’ differentiation strategies, coming up with the implementation principles and recommendations on the level of securities brokerage business, organizational innovation, investment banking business, securities assets management business, securities proprietary business, long-term incentive mechanism construction as well as network system management, providing critical reference for CITIC WT Securities’ differentiation expansion goal.Based on the market competition theories, this paper studies the choice and implementation of CITIC WT Securities’ differentiation strategies, providing important practical value for upgrading CITIC WT Securities’ growth potential and improving its market competitiveness.