Case Study On Adjusting Product Mix Of X Corporation

It has been proximately 10 years since China's entry to WTO, and nowadays, globalization of economics is speeding up with the development of IT technology. In order to meet the trend of this kinds of development, to maintain the competitive advantage of enterprises, to keep on the sustainable development of enterprises, adjusting product mix has become an urgent task at present, and it is a must-be choice during the development of the company.The theory of portfolio and the theory of product life cycle are the corner-stones for product mix adjustment. Corporate product mix adjustment is an economic behavior of internal changing the allocation of production factors to diversify business risk. With increasing industrial competition, accelerated development of new technologies and the transformation of consumer demand, enterprises also subjectively require ongoing product innovation and technological innovation, so as to continuously adapt to new changes in the market.Firstly, this paper showed you the dynamic process of product mix adjustment of a high-tech enterprise lively. From the microscopic point of view, the case regarded restructuring the company's products mix as the research object, and described company's basic information, the developing history, relevant industry background, lists of product mixes over the years, and sources of technology.Secondly, it analysed the case. The first step, it analysed the adjustment process according to the market over the years. The second step, based on the PLC theory and the BCG matrix, it analysed the success and failure of its product strategy selection and implementation. The third step, according to CSF, it analysed the nine key factors one by one which led to successful adjustment of CRT product mix. The fourth step, with theory of strategy of technological development, it analysed the technological strategic mistake in the product structure adjustment.Finally, it drew the conclusion:under the pressure of limited time and resources, companies can develop the optimal product strategy to get sustainable development only if they could master technical changes of external environment.All in all, his experiences and lessons can provide a good reference to similar enterprises in China. It has been proximately 10 years since China's entry to WTO, and nowadays, globalization of economics is speeding up with the development of IT technology. In order to meet the trend of this kinds of development, to maintain the competitive advantage of enterprises, to keep on the sustainable development of enterprises, adjusting product mix has become an urgent task at present, and it is a must-be choice during the development of the company.The theory of portfolio and the theory of product life cycle are the corner-stones for product mix adjustment. Corporate product mix adjustment is an economic behavior of internal changing the allocation of production factors to diversify business risk. With increasing industrial competition, accelerated development of new technologies and the transformation of consumer demand, enterprises also subjectively require ongoing product innovation and technological innovation, so as to continuously adapt to new changes in the market.Firstly, this paper showed you the dynamic process of product mix adjustment of a high-tech enterprise lively. From the microscopic point of view, the case regarded restructuring the company's products mix as the research object, and described company's basic information, the developing history, relevant industry background, lists of product mixes over the years, and sources of technology.Secondly, it analysed the case. The first step, it analysed the adjustment process according to the market over the years. The second step, based on the PLC theory and the BCG matrix, it analysed the success and failure of its product strategy selection and implementation. The third step, according to CSF, it analysed the nine key factors one by one which led to successful adjustment of CRT product mix. The fourth step, with theory of strategy of technological development, it analysed the technological strategic mistake in the product structure adjustment.Finally, it drew the conclusion:under the pressure of limited time and resources, companies can develop the optimal product strategy to get sustainable development only if they could master technical changes of external environment.All in all, his experiences and lessons can provide a good reference to similar enterprises in China.