Study On Market Competition Strategy Of KMS Diesel Generator In China

Founded in February1919in the United States, the KMS company is the world’s largest independent engine manufacturer. It has more than more than600distributors and more than6500dealers,in190countries and regions around the world. Its power department is the leading supplier of the power generation system and related products and services. As the earliest one of Western Diesel Engine Company of localize production, KMS set up a Beijing office in1979. In2011KMS sales more than$3.7billion in China, the largest and fastest-growing country of KMS overseas markets.In the international environment of increasingly fierce competition, one challenge for KMS is how to ensure the success of product marketing and how to adapt to the rapid development of the Chinese market. With the accelerated process of urbanization in China and the rapid social development, diesel generator set demand has risen every year. Excellent performance in Chinese market is an important method toward higher global market share.Diesel generator sets are the only one products to the end-user by KMS company. Doing research on market competition strategy of diesel generator, is related to KMS company in the growth of the market share in China. Therefore, this author wants to research what market competitive strategy can lead to increase in the sales volume of KMS diesel generator sets in the Chinese market.This author also hopes to provide some reference for the Chinese local diesel generators enterprise through research of KMS company successful experience in Chinese market. The study found that the most manufacturers of diesel generator set have the same capability to design and produce, but the most distinct difference is the influence of brand, satisfaction of customer service, marketing strategies and core technology. At first, this article analyses competitive environment of Chinese diesel generators market by competition theories of modern enterprise, studies internal resource and capability of KMS company, proposes the method and strategy of building core competence. Then this article studies the development history of the KMS company in China, marketing strategy and marketing achievements, analyses the KMS company’s own advantages, disadvantages, opportunities and threats by SWOT tool, then suggests some competition strategy. At last, this article provides some proposal of how to improve core competence of Chinese local diesel generator enterprise.The first chapter mainly introduces the development history and competition environment of Chinese diesel generator set industry; the second chapter introduces KMS brand development process, describes its product, target market and competitor, analyses internal resource and capability, concludes the core competence of KMS in Chinese market. The third chapter discusses advantages, disadvantages, opportunities and threats by SWOT model. The fourth chapter suggests market competition strategy of KMS, based on core competence and SWOT analysis. The fifth chapter offers some development proposals to Chinese local diesel generator enterprise.