Research On The Development Strategy Of Demag Cranes And Components (Shanghai) Co., Ltd.

As one kind of material handling equipments, cranes is a type of common used equipment. It's widely used in industrial production, circulation of commodities and daily life. China's economy had developed very rapid since the reform and opening up, As the development of economy, it brings both opportunities and threats for the material handling industry. Set up in 1994, Demag Cranes and Components (Shanghai) Co.Ltd.(The follow is refer to as "DEMAG") had won great success in sales volume and market share after decades works. Nowadays, the competition situation is very complex, as the international players of cranes industry enter into China's market. To achieve the target which is set by the DEMAG group, We need to rethink about the strategy for China.The paper takes the company of DEMAG as the study subject and the author use the theory of strategic management to research the external and internal environment of DEMAG. The external environment research include the research of macro environment(PEST analysis) and micro environment(industrial environment).The author focus on the analysis of industrial environment, the author collect data and research the actual situation of the industry and DEMAG. For the analysis of internal capacity, the author first build up the key success factors of the whole industry and then the author use the key success factor standard to analyze the actual strength and weakness of DEMAG After the analysis of external and internal environment, the author summary the SWOT(Strength,Weakness, Oportunity,Threats) of DEMAG,Then the author make a strategy suggestion for DEMAG. The author also make a suggestion of how to implement the strategy.The author used empirical analysis and normative analysis method during the researching process. Talking with the high-level leaders, collecting the data about domestic and international economic environment, collecting the data of the cranes industry, researching the cranes industries are all very important in researching process. Based on the the data and actual situation analysis, the author make the strategy suggestion for DEMAG and the author also make a suggestion to implement the strategy.