The Research Of The Competitive Strategy Of ZBDY Refractories Company

Refractory industry does not need much technology, so there are plenty of refractoryenterprises in China."2013-2017investment and market demand forecast analysis reportfor refractory industry in China” released by Forward-looking Industry Institute shows thatthere are more than2100refractory enterprises in2012. Especially in Zibo area,competition between refractory enterprises is particularly fierce. The adjustment ofdownstream industry intensifies competition of the domestic market, meanwhile, becausemany large foreign refractory enterprises are gradually entering China, the competition inthe market become worse and the operation and development of refractory enterprises areseriously affected. As a small and medium enterprise, ZBDY refractory company located inZibo area has the common fault, such as incomplete management system, low financingcapacity and weak ability to resist risks. So, how to keep the enterprise survival anddevelopment in the new international and domestic situation is an urgent problem forZBDY refractory company.In this thesis, through analyzing internal and external environment by various surveymethods combined with the basic analytical method in theory of competition strategy,competition strategy is developed and many feasible suggestions are brought forward forthe development of ZBDY refractory company.First of all，the research background and some basic theory are put forward and thegeneral situation, current status，internal and external environment of ZBDY refractorycompany are analyzed. The primary coverage includes looking for business opportunitiesand threats in the external environment through analyzing competition situation byutilizing PEST analysis method and Michael Porter’s Five Forces Model and finding outthe advantages and disadvantages by analyzing the internal management environment ofZBDY refractory company.Secondly, SWOT model is built for the ZBDY refractory company and some potentialmeasures are discussed. And then，focused differentiation strategy is determined to be theprimary competition strategy for the company by qualitative and quantitative analysis.Finally, in order for implementing the competition strategy effectively, somesuggestions about construction management system, marketing strategy, human resources,technology innovation and corporate culture construction are proposed to ZBDY refractorycompany. As one of the representative small and medium refractory enterprises, ZBDY refractory company has lots of similarities with many other companies in the industry.Consequently, during the exploration of competitive strategy，this thesis has some guidingmeaning for domestic small and medium refractory enterprises to explore effectivecompetition strategy under the new situation.