Research On The Diversification Strategy Of Z Preschool Education Company

At present,China’s preschool education has a market size of hundreds of billions.After years of development,for-profit preschool education companies have also become an important component of the preschool education industry.With the country’s emphasis on preschool education and the introduction of relevant policies and regulations,the development of for-profit preschool education companies has become more standardized.This study found that the development strategy of Z Preschool Education Company(hereinafter referred to as Z Company)is not perfect.Blind expansion and disorderly development are common phenomena in for-profit preschool education companies.In the current situation where difficulties and opportunities coexist,the development status of for-profit preschool education companies is not optimistic.For the sustainable operation of the company,for-profit preschool education companies need to develop reasonable and comprehensive development strategies.Firstly,the significance and purpose of the research were introduced,and the relevant research results of domestic and foreign scholars on preschool education and strategic management were reviewed.The article elaborates on preschool education,strategic management theory,differentiation strategy,diversification strategy,and enterprise growth theory.Through interviews,we learned about the current strategy,problems,and causes of Z Company.Secondly,SWOT analysis was used to identify the strengths and weaknesses,opportunities and threats of Company Z.Conduct external environmental analysis on Company Z,applying PEST analysis and the Five Forces model to opportunities and threats.Conduct an internal environment analysis of Company Z,apply the relevant content of enterprise resource and capability analysis to strengths and weaknesses,and finally obtain a SWOT analysis matrix.Based on the vision and mission of Z Company,the development goals are clearly defined,and the strategic focus of Z Company needs to shift from differentiation strategy to diversification strategy.Introduced the content and implementation plan of Z Company’s diversification strategy.In response to the problems faced by Z Company’s existing strategy,the main content of the diversification strategy is to expand early education and primary school business,establish model demonstration parks,export innovative products,establish franchise stores,and expand training business output training management models.The implementation measures of diversification strategy include clarifying the direction of business diversification,exploring opportunities for external cooperation to achieve drainage goals,improving marketing strategies to expand market brand influence,and seizing the opportunity to introduce strategic resources.The implementation plan for Z Company’s diversification strategy has proposed safeguard measures and risk control measures for the diversification strategy.The guarantee measures for the implementation of diversification strategy include adjusting organizational structure and improving management systems,strengthening marketing and brand promotion,optimizing incentive systems to promote corporate culture construction,emphasizing talent reserves,and strengthening financial management.In addition,risk control measures are proposed from the perspectives of market risk,operational risk,and competitive risk.Finally,summarize the entire article.Through the study of Z Company’s diversification strategy,we hope to provide some reference suggestions for for-profit preschool education companies.As young children gradually return to campus,for-profit preschool education companies have good development prospects and are worth considering and exploring corporate strategies for preschool education managers and investors.At the same time,preschool education companies also need to adjust according to the constantly changing strategic environment,in order to promote the continuous operation and steady development of forprofit preschool education companies.