The Development Strategy Research Of H Precision Fastener Company

After 30 years of reform and opening up development, coastal cities formed many processing and manufacturing and have a reputation as world factories. However, most of the manufacturers stayed at the lower end of the value chain rely on the cost advantage. While the developed countries focused on the product design, development and sales which have higher additional values. Along with the increasing labor cost and high-tech, more and more small manufacturers closed, we have to think about the root cause.Most of the companies in China are moderate and micro-firms, and they mainly manufacture for others being a export-oriented model. From the metal manufacture, they are widely situated and applied in many situations. And most of them are traditional labor-intensive model. A number of enterprises which developed through various favorable factors like the domestic low labor costs, cheap raw materials, strengthening currency, etc., now suffer from serious problems when the financial crisis hit, along with changes in policy-oriented, market adjustment. All these changes result in turning the past advantages into disadvantages currently. Sudden changes in the market make business owners unprepared and then cause operating difficulties. It cannot help china to get rid of falling into the lower end of global value chain by just relying on the export-oriented. In rapid technological innovation, technological innovation has been far beyond the traditional labor and resources. Only the owned continues innovations can maintain the competitive advantage. Companies need to re-define the enterprise development strategic, speed up the upgrading and changing, keep the higher position of the global value chain to get the max benefits. Once companies want to maintain the development, transformation and upgrading is imperative. Changing and upgrading is being a problem the firms have to face. As for How to upgrade, how to find the right way for self-development and how to keep competitive advantage in the industry for a company, different people have different perspectives. On these issues we are going to discuss.As one of the manufacturers of export-oriented, H metal products company also faces the limitation of the market and environment variations. Therefore, this paper put forward a new train of thought for the future development strategy and the transformation and upgrading of the H Company, according to the present situation of business of H Company, combining with the analysis of the macro environment and industry environment. In addition, by focusing on the innovation of technology and business model, the company will make a transformation from the fierce competition in the low-end manufacturing industry value chain to high-end, so as to achieve maximum benefits. At the same time, base on the arrangement of the data and information, accompany with the use of all kinds of management tools and method to summarize, specific strategy implementation plan is summed up and it not only make guide for the sustainable development of the enterprises but also provides positive reference for the enterprises with the similar situation and scale industry.