Research On The Development Strategy Of Baotou Steel Group Finance Company

A financial company refers to a non-banking financial institution that provides financial management services in the use of funds for the group members,aiming at strengthening the centralized fund management and improving enterprise efficiency.Financial companies of enterprise groups are of new organization style under the industry-finance integration mechanism in China.Since the establishment of China's first financial company,Dongfeng Auto Industry Financial Co.,in 1987,financial companies have had its way for more than twenty years.For the development and growth,it has been playing a more and more important role in the country's economy.Since the complex environment influence,the supervision departments,enterprises and other financial institutions have not reached a common sense on its function.And there is a lack of theoretical guidance,which restricts the development of financial companies.This paper first introduces the basic situation of Baotou Steel Group,its development strategy,the mode of capital management in different periods in the company's history and the basic profile of Baotou Steel Financial Company.Then it analyzes the external and internal environment of the financial company by using the PEST analysis model and Potter's "five forces analysis method ",and has got a conclusion that the financial company has got opportunities and threats both from inside and outside,but opportunities are greater than the threat.Secondly,the paper also analyzes three kinds of main development mode of the domestic financial companies and their enlightenment.Through the above the internal and external environment and domestic finance company development analysis,It puts forward the development strategy for the financial company in the near future as a Baotou Steel Group subsidiary type to develop the strategy jointly.And at the same time it puts forward the company's long-term development plan,namely from group affiliated to the common development of industry financial services company transition,and has made clear its development strategy and target.Finally,the paper has made the finance company's development strategy scheme and implementation measures,respectively the implementation of cultural innovation strategy,to cultivate a good risk management culture and a right sense of service,strategy of executive system innovation,to improve the corporate governance structure,capital operation ability and the implementation of business innovation strategy,to realize the effective allocation of financial resources,strategy of executive technology innovation,improving the financial service ability,internal control,the ability of risk control,the implementation of talent management mechanism innovation strategy,improving the personnel training and salary system.Also it makes some feasible proposals for the enterprise group on supporting the financial company's development.