Research On The Competitive Strategy Of Zsaj Co., Ltd's International Project Contract In Algeria

In recent years, rapid development of China economic, gradual improvement of international status and the strategy of "going out", all of this create a good environment for enterprises to "going out", and promoted the development of international contract for construction, at the same time, international contract for construction keeping high growth rate has quite big profit space around the world, which is offers more opportunities for the ZSAJ Co., LTD. But the international contract for construction get more competitive because of bigness of the project scale, higher technical standard, and the market access barriers which is still exist, which give challenges and uncertainty to ZSAJ Co., LTD 's external business environment. From the company's internal environment, Rapid development of company business, strong technical force, high staff quality, relatively low labor costs ,and with good reputation in the international contract for construction. But there are some shortcomings in management methods, management level, etc.Taking the market of the democratic People's Republic of Algeria,which is called 'A Station' for short, for example in this article, we analysis the four aspects of the company external environment from the political, economic, social, and technical by the PEST analysis tool, with The Five Competitive Forces That Shape Strategy, Michael Potter's competition strategy theory that include threat of new entrants, threat of substitute products or services, bargaining power of buyers, bargaining power of suppliers and the rivalry among existing competitors in five aspects, as the guide, we can draw the challenges and opportunities of external environment. We analyze the internal condition to get strengths or weaknesses of the company and its distinctive competitive ability by the Value-chain Model. Finally, using the SWOT analysis method, we can get the influence of internal and external environments to enterprise development; we proposed generic competitive strategies for the company's development, which is overall cost leadership. the company achieve economies of scale by expand the size of the market, improve market share, and reduce labor costs, financing costs, raw materials procurement costs and consumption reduction, reducing the management cost by optimize organizational structure, through international cooperation co-develop new markets, Reduce the cost of each link of value-chain and ensure the implementation of the overall cost leadership strategy to build company's competitive advantage. The security measures, innovating company culture construction, improving the organizational structures, establishing cost control system, technology innovation, protecting against all kinds of risks actively, strengthen the construction quality and creating the brand superiority, to ensure the smooth implementation of generic competitive strategies. Through the above safeguard measures we talk about, we can make strong support for the company to be better, bigger and stronger in the fierce competition in the international contract for construction market to ensure competition advantage in the international market.