A Study On The Factors And Strategies Of Core Competence Of Expressway Company

At present, both the number and the scale of expressway companies, especially those listed ones in our country, are relatively small. At present, being confronted with the challenge posed by foreign capital and the time limit for expressway companies, how can Chinese expressway companies improve its service level? Enhance its core competency? Maximize company value? All the above questions deserve further study. This dissertation analyzes related factors that influence the core competence and the core competence condition. This work aims to make some contributions in the field of theoretical study.This dissertation conducts a deep research in analyzing the factors that influence expressway companies' core competence, and considering the industrial particularity of expressway companies, this dissertation makes points that location factor and emergency factor should be involved in the logic framework of core competence which will complement and develop the traditional theory of core competency with reference to its pertinence and applicability. Meanwhile, based on the established index system for measuring the core compentence of expressway company, this dissertation analyzes the strategic links that influence the core competence of expressway company by applying value chain theory from internal value chain, industrial value chain as well as virtual value chain, and this dissertation forms a systematic structure of internal value activities aiming to improve companies' core competency and provides a systematic, dynamic and useful value chain optimization methodology that can help expressway companies create long-term profits. About the strategy of promoting the core compentence of expressway company, this dissertation illustrates the effective ways from four aspects including location advantage, emergency system, value chain management in service and innovation capacity. Finally, in the case study, it conducts an empirical study on the core compentence of Henan Zhongyuan Expressway Co. from Year 2003 to Year 2007, especially, the empirical study shows that the acquisition and construction activity of road property accounts for the largest proportion in optimal total cost, then they are respectively the road maintenance and reformation link, toll collection link, internal supervision, infrastructure and logistics service, service area, traffic-keeping, and diversified operation. Furthermore, this dissertation shows that the way to increase the core competence of Henan Zhongyuan Expressway Co. lies in exerting location advantage, improving emergency mechanism, optimizing value chain management in service as well as promoting innovation capacity. Only in this way, Henan Zhongyuan Expressway Co. can actualize its sustainable development.