Research On The Development Strategy Of Jinan RC Company

Since the dawn of the twentieth century,the development of socialist modernization,the improvement of national economic level and the acceleration of domestic urbanization have promoted the rapid rise and development of the real estate industry.Maintaining the stability of the real estate market is an important means to maintain the basis of life and the basic structure of the national economy.However,the investment characteristics of the real estate industry are prominent,the tendency of over-financing is relatively prominent,the structural bubbles in the real estate industry are high,the proportion of houses in the fixed assets of residential buildings is too high,the regional funds are excessively dependent on residential buildings,and the risk of high debt of real estate enterprises is relatively prominent.These problems need to be paid more attention to and solved.Since 2021,affected by the epidemic,the economic data of Jinan Rongchuang Real Estate Co.,Ltd.has been declining steadily,and the industry crisis has occurred one after another.The customer’s confidence in the real estate market is insufficient,the wait-and-see mood is strong,and the operating income has declined sharply.In addition,since the second half of 2021,financial institutions have strictly implemented the "three red lines" and loan concentration and other regulatory rules,and the real estate enterprise thunderstorm has triggered the collapse of the industry credit system,which has a chain reaction,Financial institutions further tightened their credit,the financing channels of domestic and foreign capital markets were almost closed,local governments strengthened the supervision of pre-sale funds,and sales were almost stagnant.The souRCe of enterprise cash flow was blocked for a time,and the company was in trouble.This paper analyzes the internal and external environment of Jinan Rongchuang Real Estate Co.,Ltd.By combining PEST,SWOT,Michael Porter’s Five FoRCes Model,internal and external factor evaluation matrix,QSPM matrix,and other analysis tools,reasonable development strategies can be formulated that take into account external opportunities and threats,internal strengths and weaknesses,thus allowing the company to escape its current predicament more securely.Additionally,this provides a benchmark for similar companies.An exhaustive analysis of the company’s development strategy,incorporating both intensive and diversification strategies,has been conducted to determine its implementation at this juncture.The company’s strategy is mainly executed in three phases:the stable,progressive,and development.At the outset,the firm will sidestep its own drawbacks,seize external chances to evade risks as much as feasible,and in the middle and late stages,mainly concentrate on product diversification,seize the market share just required,and ascend to the upper echelons of the high-end market.This paper will elaborate the safeguard measures for the implementation of the company’s strategy from five aspects:improving the financial cost control ability,improving the information system,talent training guarantee,technology research and development guarantee and enterprise culture construction guarantee.