Research On Development Strategy Of Lanzhou Jiarui Trade Co.,Ltd

Since the 21st Century, Chinese white spirits Industry has been developing fast for more than 10 years. The sales boosted from 4,195,000,000 litres in the year 2001 to 12,026,000,000 litres in 2011. Driven by this, the level of profitability increased substantially, and the distributors was mushrooming. At the same time, the competition was growing in intensity as well. From the year 2012, influenced by The "Eight Points" of anti-bureaucracy and formulism rules, CMC Prohibition, and Plasticizer Crisis, the sales growth of Chinese white spirits slowed down. The sales only increase 5.58%on an annual basis from 2012 to 2014, and the market was stagnant. The profit of Chinese white spirits was getting less and less after the golden 10 years’violent competition.Lanzhou Jia Rui Commercial and Trading Co., Ltd. was set up in the year 2009 with registered capital of 500 thousand RMB. It was an agent mainly distributes Chinese white spirits such as Lang, and Tianyoude Barley Wine.Its main marketing channel was supermarket. In the year 2014, the company’s sales income was 10.42 million RMB. It now has 31 sales fields and 32 salesmen. In 2014, the profit of the company was dropped influenced by the stagnant sales industry. At the same time, experienced salesmen were drained. All these problems were need to be solved emergently, and the development strategy need to be adjusted to make the company be more competitive in the sales market, so it will have enough profit to support the company.This essay mainly researches on the development strategy of Lanzhou Jia Rui Commercial and Trading Co., Ltd. In this essay, the writer makes a combination use of analyzing methods, such as PEST, Baud’s five kinds of strength models, Exterior factor evaluation matrix (EFE) and Interior factor evaluation matrix(IFE), to analyze the company’s opportunity, threat, strength and weakness. On this basis, the writer makes use of SWOT and QSPM to generate the development strategy of Jia Rui, and put forward certain implementation measures.The problems that Jia Rui faces have certain representativeness in Chinese white spirits sales market. So the research on Jia Rui’s development strategy is not only helpful for making an idea about Jia Rui’s future, but also provide some experience and methods for the other companies like Jia Rui at the same time. This has important realistic meaning.