| GDINST used to be an outstanding player with success in the market of mechanical and electrical installation for civil architectures. With increasingly fierce and chaotic competition in the civil market, however, GDINST has witnessed gradual decline in its competitiveness, thus making it more and more difficult for the company to get jobs and its profits are also getting lower and lower. This article studies how GDINST may get out of the difficult situation by implementing the business of industrial installation.This paper starts from the basic principles of strategic management and analyzes the Company's internal resources and external environment. Accordingly, it concludes that GDINST's core competency lies in its social integrity as shaped by standard and professional self-management in a comprehensive manner. The Company's merits include its independent business model, standard management, mechanical and electrical professionals, a high degree of social credibility, and a complete resources network of connections. On the other hand, its disadvantages concern its industrial performance, equipment, industrial technologies, human resources and industrial design, among others. The continued development of heavy chemical industry, industrial upgrade and the transfer of labor-intensive industries have brought a lot of opportunities for the industrial installation market. However, there are also threats from construction enterprises in various industrial sectors, local comprehensive enterprises of industrial installation, housing construction companies mainly featuring civil engineering, general project contractors transformed from designing units, as well as foreign construction companies.With the SWOT analysis tool, we determine that GDINST should focus its business development strategies on the sectors of new energies, machinery (equipment manufacture), automobile industry, electronic information, pharmaceutical industry, light industry, food, household appliances, and energy conservation & environmental protection, implementing factory construction, industrial production line installation and mechanical and electrical equipment installation as a general project contractor. And the Company should emphasize the development of markets in eastern areas, such as Guangdong, Guangxi and Hainan, with gradual exploration of the southwestern and northeastern regions. The Company should build its competitive edge on the differentiation strategy, and adopts gradual implementation in its development, i.e., transforming a major branch into a subsidiary of industrial installation and then expanding it step by step.To ensure the smooth implementation of the new business competition strategies, we must uphold the strategic philosophy of remaining vigilant in peace time, attaching importance to design, initiating a second phase of development and having the strong determination to win. We are going to transform the Fifth Branch into a subsidiary of industrial installation, with corresponding adjustment of the Company's organizational structure and integration of its resources. We should adopt appropriate separation of powers and provide effective incentives to enhance the staff's motivation. And we should strengthen organizational building, team construction and training, in order to improve the organization's combat strength, together with an active and robust operating model to ensure the effective implementation of strategies. |
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