Resarch On The Re-Engineering The H Compangy's Physical Distribution System

Under the background of the technique, capital, the marketglobalization and advances of information technology and China joinedinto WTO, competition of the internal medicine industry becomes moreand more vigorous. At the same time, to normalize producing and sellingcourse of medicine industry, to insure the drugs quality, the nationrequests internal medicine-manufacturing Company to pass GMP and thelocal medicine-operating company to pass GSP, and so,the product andoperating cost of internal medicine industry has been rising, the corecompetitive ability has been descending. In order to exist and develop inthe vigorous competitive marketing environment, internal medicineindustry must improve responding speed, product quality, service level, andbring down the product cost or the service cost.Making use of the exterior evaluation matrix of the strategymanagement theories method to analyze the internal medicine industry, weget: the main key successful factor of internal medicine industry is lowprice or low cost. After compare financial statement of H Company with itsmain competitor's, we discover that the sale revenue of H Company ishigher; at the same time, its net profit is smooth but less than its maincompetitor's. The actual operation of H Company didn't support its lowcost developing strategy.Applying the internal factor evaluation matrix, we discover: Theinternal resources ability of H Company is stronger than its maincompetitor's; the Company still has the stronger growth potential.Applying value chain theories and analysis of financial statement, we prove:...