The Analysis Of The Necessity, Possibility And Model Of Developing Chain Management For China's Tobacco Industry

Traditional tobacco industry is the product left over by China's system of planned economy, which indicates that market economy exerts a relatively little influence on this industry. With its entering WTO, China's tobacco market will further open up and tobacco industry will suffer from great impact due to tariff concessions, relaxing controls of quota and license granting and other facts. Originally grown under the protection of tobacco monopoly administration, tobacco companies have been on the way to setting up a sales network for several years and already made a remarkable achievement. However, this network just focuses on developing internally-linked wholesale branches and increasing ration, without much attention to establishment and management of retail stores. It's not until the recent two years that the chain management - modern retail mode has drawn people's attention in this industry. Chain management is a vital means of resisting foreign tobaccos and accomplishing sustainable development of the tobacco industry. China's tobacco industry has to face two important realistic and theoretical problems: how to look upon the importance and necessity of chain management in developing China's future tobacco industry; and how to set up a management system of cigarette retail chains fitting our national conditions, in terms of modern chain management theories.This thesis falls into four chapters. The first chapter introduces China's current tobacco monopoly administration and management system of cigarette sales in the tobacco industry. The second chapter expounds the signification and characteristics of chain management, the necessity of China's tobacco industry's developing chain management, and the policies put forward by Chinese government in developing chain management in recent years. In the third paragraph, it is analyzed by angle of SWOTthat China's tobacco industry may well meet with merits and demerits at home, as well as possibilities, threats from abroad in developing chain management. In the last paragraph, drawing lessons from other countries' experience and China's exploration in chain management in tobacco industry, the present author analyzes the basic model expected to be adopted in the development of chain management in China's tobacco industry and suggests some valuable principles in the system's organizing and running.