Study On Development Strategy Of Sany Heavey Industry Co., Ltd

The reform&opening-up and fast economic development bring momentousopportunities to the enterprises of construction machinery in China. As the high-speeddevelopment of Chinese economy in the past20years, Chinese construction-machinery brands such as SANY, ZOOMLION and XCMG grow fast by independentinnovation. Hence, Chinese construction machinery begins to take the place of foreignproducts and occupy the overseas market rapidly. Domestic brands of constructionmachinery have already gone in advance in the global domain after incessantefforts.Within the first half year of2012, the survival environment began todeteriorate. For example, the effect of national investment of40thousand billionRMB in2008is not obvious nowadays. global economy has not run out of the shadowof European debt crisis yet. The domestics economy is descending. The investingspeed of capital asserts become lower. The requirements of construction machinerydecrease and the market competition become more intensive. In this dissertation, SanyHeavy Industry Co., Ltd.(abbreviated to SANY), a public company in the field ofconstruction machinery, is taken as the research object. By analyzing SANY’sexternal environments and internal conditions, we aim to make reasonable strategiesadjustment which is suitable to the current and future trend of economic development.Based on the above analysis, the developing direction of enterprise will become clearand the possibilities of making wrong decisions can be reduced. Finally, the healthyand orderly development of enterprise can be guaranteed.Based on PEST and Five Forces models, research is conducted from Macro toMicro and from quality to quantity. Furthermore, based on the analysis of internalconditions, IFE matrixes are obtained for estimating internal strength and weakness ofenterprise. From the analysis of external environment the EFE matrixes are obtainedfor evaluating external opportunities and threat. SWOT analysis of SANY is carriedout. Based on the above research results, global development strategy of SANY isdecided. It takes market&products as the main developing direction and combinationof different companies as supplement. Basic competitive strategy is also obtained byusing QSPM method. Namely, SANY should gain market priority by providingexcellent products and services which is not able to be obtained from othercompetitors. Beginning with the reality of SANY, this paper also discussed details on how to implement the above strategies, including optimizing organization, expandingfunctions of management departments, intensifying cost control and improving R&Dability etc. The aim is to make SANY be able to resist risk, get accustomed to thecomplicated environments and develop itself robustly in the reasonable direction.The research points out the difficulties that SANY is facing and the relatedreasons by analyzing the developing status of SANY. Then suitable strategies arefound to solve the above problems by combining current conditions of SANY andadvanced theory of development strategy. The research is of factual function fordirecting SANY to survive intensive competition. Besides, the above work can helpspeed up the research procedure of development strategies and methods of Chineseconstruction machinery and improve the management level of development strategiesof Chinese construction machinery. By combining a typical enterprise of constructionmachinery and theories of development strategies, the theoretical analyzing tools andmethods for development strategies are enriched further.