Research On Competitive Strategy Choice Of DZ Company

Since the implementation of the reform and opening-up policy,China’s automobile industry has achieved a rapid development.There are approximately two hundred million cars on the roads in China,and the demand for passenger vehicles is gradually reaching a saturation condition.China’s GDP growth of the year 2019 is at a lower rise which is 6.1%,and the coronavirus epidemic may make it worse.It is not hard to see that the outbreak of coronavirus epidemic could make a further influence to the global economic recession,and the economy would be too weak to recover in the very near future.Although indirectly,the slowing-down economic growth would be sure brings lots of pressure to the automobile industry.As the marketing of automobile comes to a period of stagnation,the competition between manufacture enterprises is becoming extremely intense.As a distinguished automobile enterprise,Volkswagen must have a clear judgment to the current situation and formulate a scientific development program accordingly to gain an endurable core competitiveness and competitive edge,and become one of the tops in the automobile industry.In the background of former description,this thesis analyzes the inside and outside competitive environment and makes a research to Volkswagen’s competitive strategy.The thesis is based on the basic theory of competitive strategy,and the analytical method of qualitativeness and quantitation is adopted.The thesis takes Volkswagen’s economical passenger vehicles business as an analytic item.First,the thesis combs different theories of enterprise strategic management,concludes the analytical tool of competitive strategy management research and overviews correlational researches of automobile marketing and industrial development.Secondly,the thesis analyzes the external and industry environment of automobile marketing using both model PEST and model Porter’s Five Forces,and summarize the characteristics of the external environment using evaluation matrix of external strategic element.Thirdly,summarize the characteristics of Volkswagen’s internal environment using evaluation matrix of internal strategic element from its internal resources and capabilities.What’s more,the thesis sets up a SWOT matrix to analyze characteristics of Volkswagen’s strategies,and three alternative strategies are suggested: low-cost focusing strategy,differentiation focusing strategy and differentiation strategy.Then,on the basic of EFE and IFE matrix,the model of QSPM is used to choose the best development strategy for Volkswagen.Differentiation strategy tends to be the right answer.Volkswagen can take differentiation competitive strategy for its products,marketing channels,sales processes et cetera.Lastly,to implement the enterprise development strategy,cooperation between departments is needed.In order to make sure the development strategy be practicable,the thesis suggests several safeguard measures,like optimize the organizational structure,improve the human resource system,enhance the ability of new product research and development and improve marketing services.The researches of this thesis are based on the actual situation of Volkswagen.All the conclusions could be adopted to the formulation of Volkswagen’s competitive strategy directly,and also could become references for lots of domestic automobile manufactuers.