Research On Electric Manufacturer's Operationgal Strategy Selectness Under The Background Of Monopolizes Transfer To Competition

The reform of those industries of natural monopoly and basic network, such as electric power industry, is always a real difficulty faced by countries all over the world. Most western countries have primarily completed the reforms in these sectors and made visible achievements. This kind of reform has just started in China. It is not because of the character of natural monopoly that make reforms difficult, but of the strict administrative monopoly. Therefore, the reform to adopting a market principle in administrative monopolies is actually to re-define the functions of government and that of market. The government is going on a "revolution" in itself.The Reform of Electric Power System approved by the State Council in March 2002 is a symbol that the general adoption of market principle in Chinese electric power has entered a new stage of overall planning and promotion. However, since 2003, due to a 4-year-shortage of electricity power in large areas and strong intervention from interest group, the electric power system reform had not gone on wheels, and even much worse that it had gone to a wrong direction. In December 2006, the State Council examined and approved in principle the Implementation Proposals on the Deepening Electric Power System Reform during the Eleventh Five-Year Plan, which made corrections on the direction and focuses of the reform.Meanwhile, the concept of scientific development outlook featured in the construction of a people-centered, coordinated, sustainable developed and harmonious society endorsed in the 3rd Plenary Session of the 16th CPC Central Committee marked a great change in the national developing way, mode and strategy. The adjustment of economic social developing strategy means a stricter requirement in saving energy and environment protection. However, the electric power industry is among the energy-intensive and polluting ones.The external environment of electric power plant has changed and will continue to change because of the elimination of administrative monopoly, development of new operationgal strategy and the adoption of scientific developing outlook. All the electric power plants are facing the same problem: to meet with challenge, grasp opportunities, adjust according to the changing environment, make and implement correct operation strategies to maintain their development. The operation strategies are some measures or series of tactics that a company has to develop and adopt in order to survive and develop under some certain circumstances. The classic strategic management theory always presumes the circumstances are relatively stable, measurable or generally measurable. China's electric power system reform is on its way, although the overall direction and target have been defined, there are still ambiguity in the detailed policies and ways leading to final destinations. So, the choice of operation strategy is more important for the development of a company rather than research and work out a strategy. This is an important reason why this dissertation chooses operation strategies of electric power plant as the subject.This dissertation has a broad vision. Based on administrative monopoly, management theory, industry background and characters of electric power plant, the dissertation proposed and proved a general operation strategy, marketing strategy and production strategy under the circumstances from monopoly to competition. This dissertation takes Huadian Power International Corporation Limited as an example to conduct research, proving, and developing its theory and testify the correctness of the operation strategy. The dissertation proposed operation strategies for Huadian Power International Corporation Limited under a competitive circumstance.1. The dissertation has first done the comprehensive and systematical research for the administrative monopoly, comparative analysis to the administrative monopoly, natural monopoly, market monopoly and regulation. The theory of regulation has been organized and reviewed according to the development trend of the public interest theory, sectional interest theory and new regulation economics. On the basis of the summary on the reform and development of foreign and domestic power system, the analysis has been carried on the inner environment of the power plant and the economic character of different power plant. The purpose is to provide theory and practical background support to the electricity generation merchant on making scientific enterprise regulation strategy.2. The dissertation has put forward and proved, at the background from monopoly to contest, the necessity and ways that the electricity generation merchant carries on the improvement strategy of the core contestable ability based on the control of the total capital. This overall strategy, takes it as the main content that total capital leading strategy, technology transformation and innovation, industrial value chain promotion strategy. The big background from monopoly to contest and the character of the electricity generation merchant have decided the service ability of total capital leading strategy to the electricity generation merchant. The implementation of total capital leading strategy, have to focus to the reduction of every activity cost on the value chain. The strategy of technological transformations and innovation are important guarantee to the reduction of the cost and the enhancement of contestable ability. The promotion strategy of industrial value chain takes the coal electricity integration as a key point, the union of production and finance as guarantee. The purpose is to serve the enhancement of generating industry.3. The dissertation has put forward and proved the necessity, general ideas and exterior guarantee measure of the implementation of green energy strategy by the electricity generation merchant. In view of the fact that the merchant power source structure already presented the enormous incompatibility to the external environment, the implementation green energy strategy has become an extremely urgent task. The key point of implementation green energy strategy is to develop the optimized thermal power, make an effort on the hydropower, develop the wind, nuclear, straw stalk electricity generation with steady steps and form a "host many Yuan" electricity generation structure by the thermal power as primarily, hydropower, wind, nuclear electricity and so on new energy as supplementary. This strategy is under the instruction of national energy strategy and industrial policy, to take the market development and the resources distribution as the guidance and the economic efficiency as the goal, the development of large capacity, high efficiency, the environmental protection thermal power unit as the foundation. Using the garbage burning generation for example, the dissertation has constructed the market feasible economic mode of garbage burning generation.4. The dissertation presents and discusses the way on how electricity manufacturer applies innovative marketing theory in VIP customer relationship promotion. Facing incoming competition in electricity generating business, manufacturer must bring up his own marketing sensibility, establish innovative marketing module, and apply advanced marketing theory in marketing practice. The dissertation launches thorough research on how manufacturer combines various marketing strategies in VIP marketing practice. Up to the dissertation's submission, regulations about VIP direct power supply haven't been published. Therefore, the dissertation proves to be predicative in scientific study.5. The dissertation presents and conducts the research on how electricity manufacturer realizes IT infrastruction construction and value recreation. IT construction is becoming the key to improve business management. The dissertation analyzes existing IT situation, demand, general strategy and specific content in electricity manufacturer. With recreation of enterprise culture and social responsibilities, the manufacturer reaches the goal of improving internal and external values. Value recreation provides culture assurance for business operation.6. The dissertation conducts specific case study on Huadian Power International Corporation Limited to verify and develop the proposed theory and business operation strategy. With thorough analysis of existing situation of Huadian Power International Corporation Limited business operation and adminstration, dissertation produces responsive business strategy to the background that Huadian Power International Corporation Limited is stepping from monopoly market to sever competition, based upon the research results of previous chapters.One of the most important tasks in Chinese economics and politics reform is to establish market-oriented regulation system with legal compliance. Although Chinese power regulation system reform goes through many difficulties, marketing reform turns out to be of situation inclination and hearty expectation. In next five to ten years, power regulation system reform will be rapidly developed. Meanwhile, electricity manufacturer's external environment produces huge changes. During system transferrance, it is significant for manufacturers to make up business strategies complying with external changes and their own features, as well the key part in their existance and development.