A Study On Competition Strategy Of Huali Company

Ever since Michael Potter first dissertated on competitive strategy in the 1960s, theories of competitive strategy have been continuously developed and improved. It is now an important aspect of corporate management. Choice and application of corporate competition strategy becomes a life and death question and determines the future of a company. Applicable competitive strategies will be suggested for Huali company after a systematic analysis of its external and internal environments and by way of different analysis approaches and tools.The background of the paper is the strategic choice of Huali company. The paper, from macro and micro aspects, analyses the environment and development of corrugated paper packaging industry in nowaday China, with the use of strategic theories and tools such as Five-force Theory, Product Life Cycle Theory, Core Competitiveness, and Space Analysis Model. As the corrugated paper packaging industry is much different from other industries, the essay discussed the details of the five competition forces and the life cycle of the industry. The paper then describes Huali's management, finance, manufacturing, marketing, information and core competitiveness. At the end of this part conservative competition strategies are recommended, which includes concentration in advantageous fields, strengthening its core competitiveness, improving of internal control and optimizing human resources.As other corporate in Mainland China suffers similar environment for the time being, the choice and application of Huali may be of some assistance.