The Study Of Growth Strategy In Anshan Shunda Knitting Factory

Anshan Shunda Knitting Factory is a medium-small garments enterprise, which produces and processes exported knitting garments. And Shunda Knitting Factory now has begun to take shape after nearly 10 years'development. It faces start business for the second time in order to make it developen and strengthen. Only by depending on inner production and management in Shunda Knitting Factory is not enough in competitive ages. Therefore, enterprises striving for growing up continuously must have strategic vision, define strategic position and enterprise targets, and explicit business enterprise mission. Through the analysis of industry development trend and exterior environments, we can see, textiles industry is an eternal industry, not a setting-sun industry. And textiles industry advantage is outstanding, which international comparative strength is the highlight part for china, and holds a safe lead in the international competition. Despite history opportunity of quota ages,the growing opportunity in Japanese market and potential opportunity of garments'demand in domestic market, we can't neglect our threat, such as, low respond ability to international market variety, fierce trade rub, competition among textiles industry, and the drop of industry profits. Face such business environment and market opportunities, Shunda Knitting Factory needs to have a clear understanding for itself in order to recognize the gap between large enterprise and itself on funds,strength,large-scale,brand,ability of design and management experience, and find its own advantage and existent reasons. Only by doing so can Shunda Knitting Factory make reasonable thinking, make the most use of advantage and avoid weakness, and find the existent position in the competition. Therefore, this thesis analyzes successful key factor of the clothing industry, which are as follows: One,Brand. In long run, Chinese clothing enterprises are difficult to have a foothold in domestic market and also hard to develop in international market without brand. To open up international market, there is more and more narrow space for us by large quantity and low cost. And we can't stand firmly in international market without widespread accepted brand. At the same time, we also need brand in domestic market. Therefore, creating brand is an unavoiding choice for expanding the domestic market and international market and is a strong key for clothing industry. Two ,The ability of design. Along with fierce competition and improvement for clothing demand, the popular period of the clothing is getting more and more short, the season is getting more and more strong. Therefore, clothing industry must depend on new fabric and style to win market share. The ability of Design is the core of clothing enterprise for development. Three,product quality. Because clothing industry is typical labor-intensive and manual operation, the degree of mechanization and standardization is extremely low, the problem of clothing product quality seems to be more important. The persistent product quality is the basic source of clothing industry. There is no long-last existence of enterprise without quality. Four,The ability of delivery. It is an important factor for clothing industry whether the speed of meeting customer's continuously increased demand is faster than rival or not. In the competition, we can see one enterprise's response ability from its delivery time. Then we can see whether the enterprise can obtain the competitive advantage or not. Five,scale The scale is" antibody" that enterprise faces the risk. Large-scale enterprises can get favorite price making use of scale effect. Large-scale enterprises also can guide the market, control the market. The form Shunda Knitting factory went into international market by OEM is a kind of relatively easy internationalized strategy, which settled the enterprise's existence problem. But it is hard to get sustained growth by using other's brand. Facing the challenge of second starting business, it needs to enhance itself qualification to acquaint with international rules of the game, own core design ability, extend internationalized vision and build up independent brand image in order to obtain maximum profits. At the same time, it is very necessary to expand production scale under internal extension and external competitive pressure. Therefore, we put forward the grow strategy ofShunda Knitting Factory according to internal/external environment analysis and its own circumstances. Because of the limit of funds, technique, scale and brand etc., Shunda Knitting Factory should adopt Sole-business strategy to form special advantage and hold driving power. That is to say, Shunda Knitting Factory must concentrate the limited resources on the design, production, quantity control and marketing of the clothing product, trying to provide the healthy, comfortable and vigorous product to consumers. Under fierce,cruel and rational trend , competition is not" you die, I live" any more, but the higher level of competition and the cooperation. What we pursue is not "sole-win" any more, but "multi-win". Consociation & common share and intergrowth & common glory have become important model of modern enterprise development. According to present circumstance of Shunda Knitting Factory, its consociation strategy is divided into 3: horizontal alliance with other enterprises, vertical alliance with suppliers and attaching alliance to large enterprise. Shunda Knitting Factory should adopt different competition strategies at different target markets. That is to say, we carry out market penetration strategy & cost leadership strategy on Japanese market and market development strategy & differentiation strategy on European and local market Market penetration strategy is the most basic growth strategy for which existing business is the starting point of enterprise growth. Shunda Knitting Factory must have a foothold in the existing product----pajamas, leisure clothes, children's clothes in Japanese market by cost leadership strategy. The external environment is changing from time to time. It is very dangerous to only depend on the existing business. We must open up new market according to the enterprise strength and market demand to prevent potential risk of existing business. Therefore, Shunda Knitting Factory should develop European market and domestic markets according to its own circumstances by differentiation strategy. If the enterprise wants to be from doing strong to doing long, it not only needs to have competitive advantage, but also have lasting competitive advantage. For Shunda Knitting Factory, it must make strategic abilitydevelopment to keep lasting competitive advantage. The ability development is as follows: One,brand development. In the first stage, Shunda should expand production scale on hardware condition. In the second stage, Shunda should strengthen its own design ability on software condition. In the third stage, Shunda tries to becomes ODM( original design manufactory). Two,design ability development. Shunda is trying to innovate in fabric and style. Three,study-type culture development. Shunda Knitting Factory must understand the spirit of its own enterprise and refine a vogue culture brand, create a kind of dress culture and dress life. In this course, Shunda Knitting Factory needs to develop its study ability, melting ancient and modern & Chinese and Foreign excellent culture into the clothing products. To achieve a great undertaking, we must settle strategic problem, and have a big vision. Otherwise we will never go strong or go last without growth strategy and its ability development. It is clear that only carrying on growth strategy and its ability development can Shunda Knitting Factory acquire lasting development in fierce competition. And at last the blueprint of Shunda Knitting Factory will be achieved.