Competitive Strategy Research Of Supply Chain Management In Shenzhen Hua Ze Company

Under the background of economic globalization, the industrial chain extension and deep decomposition is not only the main causes of the current international division of labor, but also the basic dynamic of introduction and implementation the supply chain management thinking by Chinese multinationals. Today, the supply chain management has been deep into every area of industrial development. However, the real supply chain management thinking as a business model to shape was originated in Hong Kong, Li & Fung Group. Shenzhen is adjacent to Hong Kong. Despite the unique supply chain management business model has the factors of been rooted in Shenzhen and continuous optimization and innovation, the development of the business model and the evolving path of supply chain management industry are also heavily influenced by the Li & Fung Group.There are more than 14,000 logistics companies in Shenzhen currently, in which the number of the supply chain management enterprises is more than 300. These enterprises account for more than 80% of the similar type of business and the amount of the annual production value is more than one hundred billion China yuan. The modern, large-scale and brand enterprises, such as Yi Yatong, Yi Datong and Nian Fu, has formed their unique set of management. Nevertheless, there are still a large number of late start, small scale and weak competitiveness enterprises need to find the path of development in the fierce market competition.Hua Ze Company was founded in 2009. It is a medium-sized supply chain management company, and headquarters in Shenzhen, of which the main business is concentrated in the Pearl River Delta region. The shareholders of Hua Ze Company are the former executives of large supply chain management enterprises, such as Nian Fu. In the first three years, relying on social relations of shareholders and copying the management advantages of large enterprises, Hua Ze Company achieved rapid development. Recently, in order to face the increasing competition in the market environment, gain a foothold in the industry, seize the market share, get a much more broader space for survival and development, and establish the reputation in the market, Hua Ze Company is brewing on the optimization of existing business model and finding series of reform measures, such as new growth points.Hua Ze Company faces such favorable external Environment:the rising proportion of the supply chain management service outsourcing induced by the international division of labor and competition; the competitive advantage of Chinese enterprises to undertake outsourcing induced by good macroeconomic form and huge market advantage; the boosting effect on industry induced by our foreign trade reform and deregulation of the foreign trade policy; the broad market demand for the industry induced by multinational corporations actively enter the Chinese market and the booming development of Chinese manufacturing and foreign trade industry; the technical support of the industry development induced by the mushroom growth of IT technology and e-commerce services; the promotion of industry development induced by the booming development of financial industry in Shenzhen; the tremendous competitive advantage induced by the regional economic integration of Shenzhen, Hong Kong, and Macao. Hua Ze Company faces such against external Environment::the increased competition within the industry; the threat of industry leaders; the competition of the similar size of business; the uncertainty of relevant state policy; unfavorable factors induced by the changes in the financial markets; the lack of professionals. Hua Ze Company has such strengths:a more advanced mode of operation; the rich experience and social relations of the shareholders; good financial condition; good coordination between departments; the smooth communication in the regulatory authorities, such as Inland Revenue and Custom. Hua Ze Company has such disadvantages:the disadvantage in the negotiations; the further improvement in the various functional teams; the lack of its own funds and the difficult acquisition of large credit support from bank; the increased operating costs year by year.In this study, based on the actual situation of Hua Ze Company, We preceded the systematic and comprehensive analysis of external environment and internal environment of Hua Ze Copany, especially emphasized on the analysis of the Shenzhen industry market situation and Hua Ze Company faced a series of problems in Shenzhen market development. Through the combination of the theory and practice, we researched and compared three competitive strategies. Meanwhile, we collected the relevant industry literature as a reference. Collectively, we provided competitive strategies for Hua Ze Company in order to improve the operability and break through the bottleneck of the development. The key implementation of the competitive strategies should be placed on the specific types of products or sectors in the professional supply chain management services. Meanwhile, it should be involved in higher-margin trading agency business actively. The safeguard measures of Hua Ze Company competitive strategy should be strengthened, such as the adjustment of organizational structure, the acquirement of professionals, the optimization of business processes, the reform of financial management, the expansion of marketing, and the reinforcement of risk control. The successful implementation of competitive strategies in Hua Ze Company will ultimately lead to the development of business, the expansion of the scale, the rising of the profit and the improvement of the competitiveness. In addition, Hua Ze Company is representative in the small medium enterprise (SME). Therefore, the research of competitive strategies in Hua Ze Company will provide a reference template for the supply chain management industry, which has the significance of reference and popularization.