Development Strategy Study Of Etsong Tobacco Group

Etsong Tobacco Group is a large-scale state owned tobacco enterprise. In recent years, although it has founded a significant scale multiple system of management through capital accumulation and continuous expanding, it's now still in the primary period. The tobacco which is the main business of the group has became more competitive with a series of reforms and adjustments, such as amending management system, closing small subsidiaries, integrating resources. The company owns three dominant cigarette brands of"HATAMEN","A PEN","EIGHT HAPPYNESS".The current of the domestic tobacco business is mergence in more advanced style and on higher level. How does Etsong Tobacco Group deal with the above challenge and opportunity? How does it make its orientation, definite and realize the aim and details of development strategy, enhance the brands and insure the aim realization?The resolution of the above question will be crucial for the group development. The thesis analyzed and studied the above questions with the knowledge and the relevant theories of MBA. The analysis began with the macro-environment and the tobacco business environment, and then went on the aspects of micro-environment and the SWOT. After that analysis, the writer found the regulations and questions, rectified the thoughts and got two results. First, the tobacco business is going to go through an inevitable trend, which is in the style of big market, big brand and big enterprise; is the mergence of the companies with the domination of the brands. Second, there are some interior contradictions of Etsong Tobacco Group, which are weak competitiveness of the large scale, unbalanced layout of the market and low level frame of the product. The thesis discussed the future development strategy according to the present strategy environment, proposed the feasible perspective of the development strategy for the group.Etsong Tobacco Group should shrink the multiple investments immediately and strengthen the core advantage to intensify the main business of tobacco, should adhere to the strategy conceptions which focus on the brands and diversify their developing to emphasize two brands of"HATAMEN"and"A PEN", should regard the advantage of low cost as the significant backbone of the brand strategy. The group could begin with the reforms of the organization structure and business process, perfect the brand maintenance in order to guarantee the development strategy and realize the strategy aim.