Sustainable Growth Analysis For Shenhuo Group

No matter in initiatory phase or rapid development phase, all enterprises pays moreattention to maintain sustainable growth. The main content of this article is to analyzedevelopment history and current problems for Shenhuo Group, discuss how to realizeenterprises' sustainable growth.The successful factors of Shenhuo Group in past ten years include three aspects asfollows. First, Shenhuo Group insisted on active and factualistic diversificationstrategy, actively pursued more development opportunities in addition to coalbusiness, and found the appropriate integration strategy of coal, electric power andelectrolytic aluminum after a series of attempt. Second, Shenhuo Group alwaysemphasized the development and expansion in coal business, fully explored potentialin this core business, successfully dealt with the relation between core business andother business. Third, Shenhuo Group focused on continuous inner innovation,including fearless reform and practice in management control, technology andproduct, and property system.The sustainable growth of enterprises is a long-term topic. The success in one periodis not equal to the sustainable growth. Nowadays, Shenhuo Group must face manynew challenges. For example, electrolytic aluminum business is in predicament;theexpansion of coal business may bring future venture;there is some shortage in thestrategy;the reform of property contains potential trouble;the road of financingencounter obstacle. In order to maintain sustainable growth, Shenhuo Group mustadapt itself to the environment variation and solve these new problems.Through the analysis of different developmental phases, integration strategy of coal,electric power and electrolytic aluminum, enterprise inner innovation and three levelsbusiness' combination, this article summarize the successful factors, current problemsand solving advice for Shenhuo Group. The study is beneficial to enterprises whichpursue sustainable growth in different period.