Study On Development Strategy In Low Cost Of Galanz Electric Appliance Corporation Limited

Enterprise strategy is an integral planning to guide the enterprise's long run development based on suitability of the environment change. This thesis firstly compares about three kinds of main strategic schemes according to Porter's strategic classification, and explains the suitability and different characteristics of various kinds of strategic schemes. Secondly, according to the development course of Guangdong Galanz electric appliance Co., Ltd., choice course of the strategy of expansion in low cost, and combination our country's present national conditions, the thesis studies the external and internal environment that makes the strategy succeed, and its operational ways, including a bit more centralized, assemble the strength, large-scale production, OEM operation, internal innovation, lowering costs and so on. Thirdly, the thesis uses enterprise life cycle theory and product life cycle theory to analyze the suitable terms of the strategy of expansion in low cost, and chooses to prove in reality by Galanz's practice. On this basis, it studies the sustainability of the low cost strategy in Chinese enterprises under the trend that China's whole macro economy environment transforms from comparative advantage to competition advantage. Also, it discusses the support for low cost strategy by enterprise's existing core competence state, analyses the continuous growth based on low cost expansion strategy, points out that low cost expansion can only be one kind of representation, the key lies in the low cost operation ability of the enterprises themselves, could lay good foundation for the enterprises' sustainable development in a healthy way. Moreover, it focuses on analysis the future pressure of strategy from Galanz's core competence. Meanwhile, it analyzes the impact on enterprise's low cost strategy by the degree of the scale saturation, including the restraint situation in market saturation, legal saturation and cost saturation. Finally, the thesis puts forward development goal, management direction and business measures to Guangdong Galanz electric appliance Co., Ltd., and hopes to offer the development thinking that can be drawn lessons to other similar enterprises in our country.