Research On Product Structure Adjustment Of Iron And Steel Enterprises

As one of the important supporting industries for the development of China’s national economic,the iron and steel industry is a basic industry related to the national economy and people’s livelihood.It plays an important role in the process of industrialization.Moreover,the rationalization of product structure of iron and steel enterprises is the cornerstone of ensuring the sustainable and healthy development of the iron and steel industry.However,there are the following outstanding problems in the product structure of China’s iron and steel enterprises: First,at this stage,there are insufficient production capacity of high-end products and excessive low-end products in China’s iron and steel enterprises.The technological content and processing depth of products in China’s iron and steel enterprises are far behind those of the world’s advanced steel products.Secondly,China’s iron and steel enterprises have no “fist” products in the high-end market,which makes them almost lose the competitiveness of this part of the market which can obtain the highest profits.However,in the low-end market,the homogeneity of products of Chinese iron and steel enterprises is serious,and malignant competition is in the majority.Thus,the vicious circle is constantly going on,which greatly reduces the profit margin of enterprises.Thirdly,due to the slowdown of domestic economic growth in recent three years,the construction speed of municipal facilities and other facilities has decreased,and the demand of large-scale steel industry,such as machinery manufacturing,automobile production and real estate development,has continued to decline.The above three aspects are the key to the unreasonable product structure of China’s iron and steel industry at this stage,which greatly restricts the healthy development of China’s iron and steel enterprises.How to adjust the product structure and enhance the comprehensive strength of iron and steel enterprises in order to seek the transformation,upgrading and healthy development of products of iron and steel enterprises highlights the necessity and urgency of studying the product structure of iron and steel enterprises.Taking the adjustment of product structure of Iron and Steel Company C for example,this paper studies the problems of unreasonable product structure,unbalanced market supply and demand,low technology content of iron and steel products,weak market competitiveness of products market and periodic overcapacity caused by weak technology research and development ability with market orientation,so as to enable it to play its own product advantages and regional advantages.On this basis,the adjustment plan of the product structure of Iron and Steel Company C was obtained through research.And it considers the development direction of future product structure of Iron and Steel Company C.The results of the study have theoretical guiding significance for helping to improve the product market competitiveness of Iron and Steel Company C.On the basis of reading a large number of foreign and domestic research literature,this paper analyses the specific situation of comprehensive steel industry under the macro environment of China’s iron and steel industry.Moreover,this paper also uses Porter’s Five Forces Model to study the existing problems in the product structure of iron and steel enterprises,and takes it as the theoretical basis.Based on the data of industry and enterprise,this paper analyses and summarizes the problems existing in the product structure of Iron and Steel Company C,and puts forward the theoretical ideas and methods of product structure adjustment of Iron and Steel Company C.The main research contents of this paper is composed of the following five parts:Chapter One: Introduction.The introduction mainly introduces the significance and background of this study,and the methods and ideas of clarifying this study.Chapter Two: Literature Review.Through the study of domestic and foreign literature,this paper defines the concept of product structure and combs the related research of product structure in iron and steel enterprises.Chapter Three: Research on the present situation of product structure development in iron and steel industry.This paper takes a modal analysis of the development status of iron and steel industry.Chapter Four: Current situation analysis of products of the Steel Company C.Combining with the company’s operating status and the production and sales of products over the years,it finds out the problems existing in the company’s current product structure.Chapter Five: Adjustment direction and safeguard measures of product structure of Iron and Steel Company C.This chapter is mainly about the specific implementation of the strategy and follow-up measure of safeguards.The innovation of this paper:The first is the research angle of the iron and steel enterprise.Through consulting a large number of documents,it is found that most of the scholars’ research is devoted to the whole industry,while there are fewer cases in studying the product structure adjustment of iron and steel enterprises.Based on the internal and external environment of the iron and steel industry,this paper analyses and summarizes the problems existing in the product structure of iron and steel enterprises.In addition,this paper also chooses cases to study the product structure adjustment,which is innovative in perspective.The second is the innovation of research and analysis methods for iron and steel enterprises.The problems of the unreasonable product structure of iron and steel enterprises is universal.In the past,only SWOT analysis method was used in the research of product structure.On the basis of SWOT matrix analysis,QSPM quantitative analysis tool was also used in this paper.In this paper,the causes of formation are deeply excavated,and the strategy of product structure adjustment is selected by scoring.Combining with market demand and product positioning,this paper puts forward some measures and strategies for product structure optimization of the Iron and Steel Company C.It comprehensively analyses the weight of influencing factors of product structure,which is also an innovation of the research and analysis method in this paper.Due to the time relationship in the writing process,the fact that some product production and sales data belong to commercial secrets,and the difficulty in data sampling,the depth of this study may not be deep enough,so the adjustment scheme of product structure of Iron and Steel Company C is not necessarily the optimal one.Secondly,the article mainly points out the direction of product structure adjustment of C Iron and Steel Company.However,it has not made a thorough study on how Iron and Steel Company C promotes product structure by controlling costs and overcoming its own shortcomings.