The Study About Countermeasure Of ZTI Exploiting Water Market In The Southeast Asia

After joining the WTO, the government has proposed China's economic strategy of Competing in the outside world, so Zhejiang Teams international Economic & Technical Cooperation Co., Ltd (ZIT) has put forward its own strategy, aiming at the South East Asian water market.The South East Asian Market is uneven developed, but has enormous potentialities, it is rich in the water resources and is accelerating the pace of urbanization, but the water resources, the population and the urbanization is unevenly distributed, some areas is facing serious shortage of water supply, at the same time some area is facing the seasonal flood. The population is unevenly distributed in South East Asia, according to the glaring discrepancy in natural resources and the urbanization. The urban inhabitants are unevenly distributed according to the population's geological distribution. A large amount of population lives in some big cities, the distribution each is various with others.And, following the growth of urban population, the large parts of South East Asia is now facing the problems in water supplying, the urban water plant is incapable to supply enough water for the city dwellers, nearly all larger or middle size city is planning to built new water plant, the speed will be faster and faster, accompanying the population growth. The World Bank's report says in 5 years, the total amount of investment in South East Asian water market will exceed 70 billion dollars.The enormous potentialities of South East Asian water market attracts many water company, including the three barons, Vivendi Universal SA,SUEC and Thames. All of them are buying now, aiming at increasing the share of market. Others like Agerlie,Guotai,Maick have great success in marketing in many cities, their business involves in many fields, including financing, investing, building, device supplying and managing in waterworks, disposal plants and pipeline works. At the same time some Chinese water companies, such as Anhui Guozheng,Beijing Shangde have entered the market.ZTI, which has rich experience in international trading and interntional economic cooperation, in accordence with the existing problems in its own developing and the existing situation, now has mapped out a new water marketing strategy, which has a special meaning. It meet the demands of the economic globalization, the demands of expanding its foreign trade scale, and the need to learn advanced technology and managing skills from abroad.For this we will use PEST analysis method to analysis the macro environment of the South East Asian water market. And above all, is the political situation. Now the political situation is becoming more stable, but still there are some unsure factors, for example, the gap between the poor and the rich is increasing; the law system is not complete in structure; the corruption and the threat of terrorism. Secondly, is the economic situation analysis, there is regular exchange of high officials between China and ASEAN, and there is a sustained, stable growth in the bilateral economic trading cooperation. China-ASEAN free trade zone is beginning to establish, the economic growth is rapidly. Thirdly is the social-cultural analysis, the South East Asian is a vast area with large population and many nationalities. The cultural communication between China and ASEAN is frequent, and the regional difference in South East Asian is vast. Fourthly is the technique analysis, for the water company, the backward water industry is attracting.After the macro environmental analysis, we will use SWOT method to analysis the ZTI's strategy. First is the advantage, the company has the fundamental bases in international marketing, and the necessary information, the friendly relationship with the targeting company. Secondly the disadvantage. The company is not very familiar with water project managing, and not very familiar with the South East Asian market. And the opportunity analysis, there is a stable political situation, a fast growing economic, a positive investing policy, the shortage of drinkable water supplying, the advantage in technology and the high cost performance of our company is our opportunity. And lastly is the threat. There are still unstable factors in political situation, the regional growth is threatened by the riot, corruption, terrorist, all this will hinder the business.After the PEST and the SOWT analysis, the conclusion for ZTI's water business is : There are advantage and disadvantage, opportunity and threat at the same time.To overcome the disadvantage, and take advantage of the ZTI's advantage, here we put forward our policy. Firstly we must establish the correct strategy, and secondly we must make sure the market entering style, the best choice should be BOT style, contract project style and the investing style. Thirdly is to select the proper local agent or partner. Fourthly is to cultivate an excellent team. In this team there should be fluent communication between its members, each member of this team should constantly bring forth new innovation, and cultivate the team working spirits by building the enterprise culture. Only this could put the enterprise in an invincible position.