Study On The Development Strategy For Yu Long Group Company

Nowadays,China is the third largest corn-producing countries in the word except the United States and Brazil. China's corn production was 1.65 million tons in 2011. It makes the corn deep processing enterprises of agricultural products have a fast growth momentum relying on strong advantages in resources. This provides a good opportunity,but also brought a severe test to corn-based ethanol industry. According to market research,China's ethanol demanding is about 800 million tons for one year. Wine Association statistics data show that the current national ethanol production is to 550 million tons,there are 250 million tons per year for the amount of alcohol. With the worldwide shortage of oil,demand will increase every year of alcohol,alcohol industry has much room for development. Such a large resource advantage and the huge market demand makes the alcohol industry vacancies attracted much attention,but also for alcohol production enterprises severe test.Yulong Group is located in the northeast old industrial base,it is the leading agro-processing enterprises in production and sale of alcohol,and it has 58 years alcohol production history. We can say it maintains stability in the development process. In recent years,with growing team size within the industry,Yulong companies facing a severe test. Whether the company has the ability to meet industry requirements , make long-term development strategy is the key to achieving sustainable development for the company in the future.The financial crisis in 2009 brought great impact to the global economy, the impact on the real economy is more significant. Alcohol industry as a traditional industry, but also suffered a sales decline,the decline of efficiency. China is the main raw material for manufacturing alcohol,we also use corn and other grain crops as raw materials.Since 2006,the state in order to ensure food security, began to limit the blind development of grain alcohol, alcohol industry, "non-food" trend evident. Cassava,sugar cane, cellulose, sugar beet and other non-grain raw materials in the production of alcohol is widely used. Affected by oil prices,China's fuel ethanol industry ushered in a historic opportunity to develop rapidly. Alcohol production in 2010 -2011 on the transfer to the main producing areas of raw materials and the trend to large-scale development will continue to maintain,large and medium-sized alcohol enterprises will dominate in the market. Part of the backward production capacity companies will be eliminated. Alcohol restructuring of small and medium enterprises will face a severe test.Facing rare opportunities and severe challenges,Yulong Group followed changes in the environment at home and abroad to adjust strategy. In addition to increased efforts to promote the main product,search for strategic partners,focusing on the development of downstream products and services, take the diversification route, Increased product development efforts,and strive to raise the level through technology to reduce product costs,and create more profits for the company. Meanwhile,the company began to profoundly analyze the Yulong themselves,through self-analysis to identify the existence Yulong currently financing the development difficult,strategic deployment of intangible assets is not clear and deep understanding of the three constraints of non-development of the company's bottleneck. In the development process through a clear management of various functional departments to strengthen the enterprise culture,the introduction of strategic partners and for government policy support,etc. to be addressed. The healthy development of the company can not do without a scientific and rational development strategy formulation,and needs more explicit measures to provide protection for the implementation of the strategy, Yulong Group by strengthening internal oversight mechanism,strengthening the cultural construction and adjustment of internal resources for the implementation of the strategy to provide good protection. Development in the future,Yulong Group companies must adapt to the environment needs to adapt to industry requirements in order to seek further development in times of hardship.