Study On Copper Strip Business Competition Strategy Of A

After 2010, China’s copper processing industry has shown obvious structural and periodic overcapacity, and the market competition was increasingly fierce. While the whole industry production process and product quality has a large gap compare with the world advanced level, and a considerable part of high-precision copper strip(high-end products) is still rely on imports.A company is a copper processing enterprise who entry the copper strip market early in China and it’s copper and copper alloy strip products have been honored as "Chinese Famous Brand" products. 2003, A company’s project of annual output of 10,000 tons of high-precision strip completed and put into production, and its product soon replaced mid-range products of import, and contributed good economic returns for the company. But in recent years, some new high-precision projects continue to be launched, making the supply and capacity is increasing, and the market competition is intense; on the other hand, many new projects’ devices are much better than A company launched before, causing A’s original high-precision products relatively backward, resulting in its market competitiveness decreased. In this market environment,A company`s 40,000 tons(annual output) of high-precision project launched at the end of 2014, in order to optimize the product structure, achieve import substitution in high precision products gradually, capture the high end market, and substantial increase in the company’s profit. This project for A company’s original copper business is a important development opportunity to get out of the competition Red sea, and entry the industry’s Blue Ocean. In order to fully grasp this opportunity to make its copper business fine and stronger, A company needs to conduct more precise positioning of its Copper strip business competition strategy.The purpose of this paper is to select and formulate copper business competitive strategy for A company. Firstly, the macro environment and Copper strip industry environment were analyzed, and it concluded that the key to business success is to maximize customer satisfaction base on a reasonable cost control. Following by A company’s internal environment analysis, come to the core know-how of A company’s Copper strip business is the combination of research and technical ability and capital advantage. Based on the above and SWOT analysis,combined with the strategy that position the Copper strip business as A company’s core business, as well as A company’s target customers and market are both in high-end, it come to that A company’s copper strip business should choose blue ocean strategy, and the strategy implementation phase has been divided. Finally, measures to implement and guarantee the competitive strategy has been put forward.