Value Chain Cost Management:A Case Study On G Company

With the increasingly fierce market competition,as well as China's manufacturing production factor costs continue to increase,transnational companies who have benefited from complete and low-cost supply chain in China in past decades are facing significant pressures from both demand&supply ends.G company,as a European multinational enterprise that takes China as its manufacturing base and focuses on R&D and sales,is also facing the same challenges.Hereby,whether companies could manage cost strategically&effectively or not,has apparently become the key to maintain competitive advantages.Based on;the perspective of value chain and combined with the cost management research of G company,the paper expects to help case company to optimize cost&increment of value during whole chain of value creation,which will help case company to build and maintain competitive advantages.In the paper,it firstly combines the research theories and tools in term of value chain&value chain cost management;Secondly,Based on the value chain theories,using case study method,it investigates and analyzes the value chain&value chain cost management of G company;Thirdly,using theories and tools of value chain cost management,it points out the disadvantage and brings up the improvement suggestions in value chain cost management.The paper combines value chain and value chain cost management theory with the G company actual practice,after deep research and analysis on G company,offers targeted measures and suggestions to further improve and enhance the value creation ability,enhance the level of the value chain cost management,help case company to consolidate and strengthen the position in the market competition.Meanwhile,it will provide some reference value to R&D enterprises in value chain cost management.