Research On SHM's International Market Strategy

The trade war between China and USA is the biggest challenge for China since 40 years Reform and Opening-up policy.The past 2018 is not an easy year for China and the global economy.Unilateralism,protectionism,economic and trade frictions take place often,and the world is worried about the trade performance of the world's second largest economy.As for the foreign trade situation in 2019,China's foreign trade is facing uncertainties and instability.Recently,The world bank downgraded its global economic growth expections for this year and next.The growth rate of international market demand has slowed down,trade protectionism has risen,external environment is complex.So the key point for a company to obtain a place in competition is to fully study,adjust stratagies.This paper is based on the export-oriented characteristics of SHM Company,a Sino-foreign joint venture.Firstly,this paper introduces the background and significance of the research,the methods and ideas of the research,and the achievements of the strategic research on automotive parts industry and steel wheel industry,as well as the relevant strategic research models and theoretical basis of the domestic scholars in recent years.Secondly,through PEST analysis method,the macro-environment of enterprises is analyzed from four aspects: politics,economy,society and technology.The current situation and development trend of China's steel wheel industry are analyzed.The overseas market competitiveness of SHM company is analyzed by using Porter's Five Forces Model.The external environment of SHM company is sorted out.Thus,the current macro-situation is unstable and steel wheels are facing many challenges.Thirdly,the internal environment of SHM company is analyzed from five aspects: financial credit,brand resources,technical ability,human resources and corporate culture.The core competitiveness of SHM company and the problems existing in the company's international market operation are further analyzed.The advantages,disadvantages and opportunities and threats of SHM company at this stage are summarized by SWOT model.Quantitative analysis of each alternative strategy using QSPM strategy matrix shows that SHM factory relocation plan and STARCO new joint venture plan,Southeast Asia to avoid the feasibility of anti-dumping in Europe and the United States etc,the five strategies with the highest scores.Finally,in order to ensure the smooth implementation of the strategy and realize the strategic goal of SHM as the world's large steel wheel supplier,six specific measures are put forward,such as giving full play to its advantages,integrating resources and establishing a risk management system.This paper combines theory with practice,through case analysis,uses the knowledge learned to conduct qualitative and quantitative analysis,which has a certain reference value for SHM company to explore the international market.