Research On The Development Strategy Of ZH Accounting Firm

Since 1980 s, accounting firms in China are from small to large and from weakness to strength. The total revenue of accounting firms in China reached 56.32 billion RMB, the revenue of Top 100 reached 34.756 billion RMB and is 61.71 percent of total revenue in China. From this perspective, accounting firms in China are stronger and larger. With accounting firms in China integrating into the world and industry access conditions relaxed, accounting firms in China are facing enormous challenges. According to information provided by the AICPA, ZH Certified Public Accountants composed of 416 CPAs ranked fifteenth in 2013, its dominant position is prominent in Hubei Province. However, ZH Certified Public Accountants is also in deep trouble, such as unreasonable age structure and educational structure, weak competitiveness in outside of Hubei Province. Through deep analysis for development strategies of ZH Certified Public Accountants, we provide recommendations for improvement.In this paper, we discusses strategic issues of large accounting firms, belonging to special industries- intelligence-intensive service industries. Its core competence reflected in the rich customers resources and high service quality, as both enterprises for profit and social intermediary service institutions ensuring service quality. In this paper as an example of ZH Certified Public Accountants, we use PEST model, porter five model and SWOT analysis tools to analyze the internal and external environment of ZH Certified Public Accountants in detail. In the process, we found some competitive advantages of ZH Certified Public Accountants and deficiencies needed to be improved. Therefore we put forward that ZH Certified Public Accountants should implement scale strategy, concentric diversification strategy, differentiation strategy and internationalization strategy. Meanwhile, ZH Certified Public Accountants should establish rational organization, build healthy enterprise culture to enhance employees’ sense of belonging, establish an early warning mechanism to keep away systemic risk.Based on the development perspectives of large accounting firms, from strategic management direction we demonstrate how the local strong accounting firms to be bigger and stronger. There is a beneficial reference to the development of local strong accounting firms.