Research On International Procurement Case Of RX Company

With the deepening of economic globalization and the impact of international trade and investment by smaller and smaller area, China’s foreign trade grew exponentially,whether import or export of trade in the global market competitiveness greatly enhanced. After joining WTO,our foreign trade resistance is gradually reduced. However,foreign-funded enterprises to enter the domestic market has brought competition,which indirectly promotes the technological innovation of domestic enterprises products and advanced management concept of continuous improvement.A large number of sophisticated enterprises with independent intellectual property rights gain rapid development in this wave,using its advanced technology to win a place in the global marketplace. Furthermore, China’s foreign trade in high-tech content, total imports and exports of high-value equipment or components are increasing year by year. Since the Industrial Development of Europe and other countries has a tremendous advantage over China,and advanced degree in manufacturing is also higher than China,international procurement operations of Chinese enterprises are also growing rapidly at this stage. Chinese enterprises international procurement mode is gradually transformed from passive to active international import and global strategic sourcing, Companies pay more attention to diversification among international strategic interests,escalating to the coordination and integration of global strategic sourcing.This case study is based on a particular international procurement of Rongxin company. The products of Rongxin are mostly customized large equipment, the products design, Production materials purchasing and producing are based on the demand of customers. Most of the core components of products should be imported. The author believes that the analysis of Rongxin international procurement company case is useful for the related or similar enterprises which also have international procurement business. In this case the imported components of Rongxin company are the high-tech cure components. After describing the whole case, the author will analyze the problem of Rongxin company’s international procurement. Then the author will give some reasonable suggestions to solve those problems.