Study Of Marketing Strategy For China International Contracting Enterprises

International contracting, as one of important component of foreign economic trade in our country, has achieved obvious and brilliant success along 20 years reform-open government policy. With its rapid development, great impact and bright prospects, more and more attentions have been paid from each social field. Actually, from 1985 international contracting business has rapidly grown at average annual rate 25% in contract value. However, it is known that the whole contracting businesses in our country on technology, fund, operation method and market occupation are still on initial stage, it is too young to compete with those giant contractor in other countries. As those famous international contractors hold more monopoly chances and advantages to obtain large or super-large project contracting by their advanced administration, high anti-risk and financing ability, as well as their emphasis on such large projects as inclusive of equipment and materials procurement, EPC, BOT, etc. In view of current development trend of international contracting market, there are quite more market occupation supported by new technology and materials, abundant finance and new operation method. Those well-known international contractors change their administration from construction only to diversified ones inclusive of project design, engineering, supervision, etc. The feature of international contracting becomes obviously to the integrity of design, engineering and construction. So, it makes marketing more outstanding in international contracting field. Without following such development trend and adjusting administration strategy accordingly, China's international contracting enterprises could only keep on lower level. Further they fall behind such development trend, larger they lag those advanced enterprises in the world. No doubt, the main tasks, in the early stage of 21 centuries for China's international contractors, will be how to determine corresponding marketing strategy, to research new administration mode, to strengthen competition with other huge international contractors to reduce lag extent. Most of our international contracting enterprises have not taken marketing strategy seriously in a long term. They considered only public relationship with their owners while contracting. On basis of this background, many China's enterprises only have enthusiasm on bidding for traditional project and undertaking easy construction. Some of enterprises even reduce offered price despite of their ability and commercial benefits, which sometimes lower too much than budget price. By this kind of abnormal competition, there occurs not only no benefit to each enterprise itself, but also damage to whole China's contractors.Through my investigation, I believe that our international contractors have certain competition advantages for their low cost of labor and equipment. But this competitive advantage on low cost will be progressively lost in case no initiative competition at high standard. For this sake, our international contracting enterprises are requested to base themselves upon, research for new competitive advantage, steadily enhance the scale, grades, technology content and benefit value of the contracting project, as well as combine administration of design, contracting, construction and operation altogether instead of construction only. They also have to initiatively compete with and learn from those advanced enterprises to shorten the lag extent between. Meanwhile, they shall follow strictly those changing features and trends of international contracting market, and shall later speed up the study and application of newly applied technology and materials. We should know that the combination of low-cost competitive advantage with adoption of new technology and materials would be key measures for our future international contractors to develop further market and benefit growth. To achieve so, support of systematic and complete marketing strategies is required. Only under the policy of right marketing strategies, our internatio...