Study On Indonesia Market Development Strategy Of Z Company

With the continuous implementation of China's "Belt and Road" initiative and practicable associated policy incentives,more and more state-owned enterprises have responded to the call to start entering overseas markets.In response to the "civil-military integration" and "going out" initiatives,state-owned military enterprises have also begun to participate in the competition in the international civil market.With the development of international business,this type of enterprise is encountered with some outstanding management problems and the risk they are facing is increased day by day.Z Company is a state-owned civil-military integration enterprise,which is engaged in electronic and communication products.As a result of the shrinkage of military business in recent years and the decline of military products profits,vigorously develop the business of civilian goods and expand the international market has become a must-have choice for Z Company.Taking the development strategy of the Indonesia market of Z Company as an example,this paper makes a systematic analysis and research on its expansion strategy on the solid basis of theoretical research.Firstly,the paper introduces the basic introduction to the company,analyzing the motivation and present situation of the company's internationalization,and also further analyzing its motivation,present situation and existing problems in Indonesia market development.Then,based on the theory of internationalization strategy and strategic analysis,the PEST model is selected to analyze the macro-environment in Indonesia and the Porter Five Force model is adopted to analyze industry environment of the company.Through the VRIO model,the resources and capabilities of the company are discussed and the most competitive ability of the company is observed.Next,based on the summary of the above analysis,the SWOT matrix is utilized to excavate competitive advantage strategy.Then,the strategic goal of market development in Indonesia is established.This paper puts forward some suggestions on the strategic choice of Z Company to develop the Indonesia market according to the short,medium and long term planning.And it highlights the Indonesia market entry mode that Z Company should adopt in various stages.Through the analysis and research,this paper clarifies the shortcomings of Z Company in the development strategy of the Indonesian market,and it is conceived of some countermeasures on the key problems existing in the implementation of the Indonesian market strategy by Z Company.Through carrying out appropriate analysis of the internal factors of the company,the paper puts forward some suggestions on improving the allocation of resources,corporate governance,organizational design and staff motivation.It also gives some suggestions on risk control and prevention,and finds the theoretical basis and feasible development strategy for the domestic similar enterprises to boost "Belt & Road" initiative in the development of international market.