The Development Strategies Of Smes During The Financial Crisis

Labor-intensive SMEs in the export sector play crucial role in China's economy.With the development of the economy,they began to lose their advantages.Especially in recent years,influenced by international economies,more and more problems have been exposed.The mainstream academic opinion is that Chinese industries are in a transformation period. In 2008,the global financial crisis has impacted China's economy, therefore SMEs,in particular,those in export sector confront unprecedented difficulties,as a result of which,most of them went bankrupt.So a question comes up:how can labor-intensive SMEs in export sector survive during this crisis and develop in the future? It is of great theoretical and practical significance to research this topic.The whole structure of this passage is as follows:PartⅠintroduces backgrounds of this research and its significance,the status quo of studies both home and abroad,methodology to conduct this research,and new ideas and shortcomings about this research.PartⅡprovides a wide range of theories,mainly defining some basic concepts and introducing analysis methods applied to the study.PartⅢaims at analyzing macroeconomic factors that influenced SMEs,or different threats to labor-intensive SMEs in the export sector before and after the impact of financial crisis spread to the manufacturing industry.Before the financial crisis had an important influence on China's economy,the main risks facing SMEs are the appreciation of RMB, increased costs and changing government policies.After China's economy was impacted by the financial crisis,deteriorating international economic environment and the difficulties of finance become two major threats to SMEs.PartⅣmainly analyzes external opportunities for labor-intensive SMEs in the export sector.Those can be defined as two kinds.First,SMEs have more problems exposed after the financial crisis,which has drawn more attention from government.Therefore various kinds of policies are made to assist SMEs to get over difficulties,and solve those long-term existing problems.Second,financial turmoil has sped up the pace of restructuring of labor-intensive SMEs,which could be an opportunity for SMEs.PartⅤfocuses on analyzing operational strength and weakness inside SMEs.Strengths are flat organizational structures,fast decision-making processes and flexible operation and that they are easy to manage. Weaknesses are unskilled workers,poor management,lack of innovation, low technologies,huge producing costs and huge operational risks.PartⅥprovides some ideas about how to develop labor-intensive SMEs in the export sector,including strategies in competition,products, marketing,manufacturing and operations.The final part presents a conclusion and illustrates the main contribution of this study.It also anticipates the future direction of research in this area.