The Study About Chinese Core Competence Of Real Estate Development Enterprises

The terminology "core competence" was first proposed by American Economist C.K.Prahalad and Gary Hamel in 1990. From then on, the core competence theory has been paid more and more attention and valued by theorists and entrepreneurs.The real estate profession in China, after many years' development since 1980s, has become one of the pillar industries of the national economy and belongs to the basic and forerunner industry in the national economy system. At present a universal problem exists in the Chinese real estate development enterprises is imitation and strategy hasten. In order to realize a stable, healthy and sustained development, they have to construct and promote their core competence. In addition, they do not understand the connotation of core competence and the majority of them have the misunderstanding that competitive advantage, certain capacity of enterprises or some resources like land and capital possessed by enterprises is core competence. In fact, the core competence of real estate enterprises are the resources, knowledge and capacity which are unique, difficult for competitors to imitate and can bring super profit, accumulated in the enterprises' development and management processes.The first part of this article is introduction that mainly expounds the research background and significance of the core competence of real estate development enterprises. The second part analyses core competence theory and elaborates both the domestic and foreign research situations about core competence. Then the third part analyses the current situations and problems of core competence of Chinese real estate development enterprises. Four aspects of suggestions about how to construct core competitiveness will be proposed in part four. Finally it is the conclusion which summarizes the article and makes some prospects about the future.