Resource-based View Of The Firm And Competitive Strategy Of China's Stock Firm

Despite over decades of development, China's stock firms have poor power of competition on the whole, and especially, they haven't formulated the competitive eagle. So there exists considerable distance, compared with foreign stock firms. In fact, this problem that needs resolving promptly has become the bottleneck which bonds the new round of development of domestic firms. In order to enhance the competitive edge of China's stock firms and to face up with the international competition, to promote the research of competition strategy of China's stock firms and to seek the importance of the sustainable competitive edge of China's stock firms have become the first item on the agenda of the development of China's stock firms. Via clarifying various schools of competitive strategy theory and forseeing the future competitive edge of stock firms, this paper believes that the competitive edge of China's stock firms is based on the firms' resource and attempts to offer theoretical support and instructions for China's stock firms to establish the strategical practice of resource-based competitive edge. First, in the theoretical part, by the description of some theories concerning this topic-resource-based view of the firm, this paper illustrates important resource theoriesï¼›Then, the model of value-create-zone, composed of industry, competitive analysis and the theory of the resource base of the firm, demonstrates the key stages of matching the firm's resources with its competitive environmentï¼›Finally, by introducing the practical framework that is the triangle of firm strategy, which is applied to evaluate the stock firm's competitive edge, the paper states each composed elements one by one in line with the framework. In my opinion, the theoretical statement and the interpretation of the two models function as a supporting research to the problem of how to device and execute effective competition strategy for stock firms. With the theoretical support, later part of this paper puts emphasis on the analysis of various powers within or outside firms, such as efficiency, macro-economic environment, the trend of development of stock market, the conditions of competition, competitives (the potential foreign stock businessmen) and other elements within stock firms. Which can lead to the arising of competitive priority and to ensure the finalsuccess in the competition of stock firms. In the end, the article intends to state a way to establish competitive priority as a complete system by making use of resource theory and value-create-zone to analyze the resource advantage of China's stock firms, and by applying the triangle of firm strategy combining business, organization and system to resource-based strategy.