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W Company. Connection Class Product Development Project Investment Value Analysis

Posted on:2008-06-29Degree:MasterType:Thesis
Country:ChinaCandidate:J H YangFull Text:PDF
GTID:2199360215455762Subject:Business Administration
Abstract/Summary:PDF Full Text Request
I,Research BackgroundAlong with WTO rule more deepened in our country, more and more foreign enterprises and products unceasingly swarm into our domestic market, auto industry also can't avoid the cruel global competition situation. As a small-scale auto parts enterprise, W company also has to survive in the tremendous competition pressure.With the high speed increase of Chinese economic and people's earning, auto consumption also increased gradually. The increasing of auto parts is the same, and the percentage of auto parts in vehicle is also increasing synchronously. Since 2002 Chinese auto industry increased eruptibly, which increase rate exceeded by 30%; in 2004 even 40%, 20% in 2005. From the industry status since 2002, the international experience is validated, Chinese auto industry is just in the rapid growth period, which will continue at least 5 to 8 years. The annual average increasing rate will keep double-digit; then it will come into long-term autumn .So the golden time of our auto industry development may extend to 20 to 30 years. Similarly, the development of atuo parts industry is almost coincident with the auto industry. According to the related experts forecast, Chinese atuo parts industry increase rate will be above 20% from 2002 to 2010; then comes into autumn which annual average increase rare is 8%, which will smoothly increase 10 to 20 years. The development trend is so good. It is golden opportunity for the development of the auto enterprises.However, not all enterprises can grasp this golden chance. After joining into WTO, for our vehicle industry, the biggest challenge is to the atuo parts industry.At present there are about 30000 parts enterprises in China, with in which more than 10000 are large scale. But the total annual sale is only about one hundred billion RMB. However, the sale of the global atuo parts company BoShi is seventy billion Mark (alomost two thousand and sixty billion RMB). At the same time, as the homemade policy of auto parts is gradually fading out and the policy of differential custom has declined to 10%, also the import quota is cancelled gradually; the overseas auto parts companies have entered into China and more foreign and civil capital entered into auto industry. The domestic competition of vehicle became more and more cruel. Also the auto parts enterprises have be influenced a lot. The atuo parts price has fallen 60% in recent three years. The requirement of the auto parts quality control is higher and higher, the study & empolder capability requirement of the auto parts enterprises is more and more strict. Also the market competition of auto industry will become more and more fury. Many enterprises are short of capital, technique and self viability will be washed out by the market.As an auto parts enterprise, W company can't avoid such market circumstance.II. Research purpose1. If it is the strategy requirementOn the basis of the company long development strategy, research if the project investment is conformed to the development strategy of W company and what influence it will cause to the company development?2. Project yieldForecast the sale income change and volume of the products in future five years by the possible effect to the products by the project investment. Analyses finance of the future five years according to the forecasted sale income, and research the company possible income in future five years by the project investment.3. Project investment riskResearch the risk of the project investment and how to avoid the possible risk, to gain the intent of steady management.4. The possibility of fulfilling investment incomeAt the basis of market sale policy, products and equipment, management, organization mode and any other internal resource of the company, research the possibility of fulfilling investment income of the project.III. The main characteristic and structure of this textThe main characteristic of this text is on the basis of the real situation of the company, the company actual strategy thought, the run of each system and future thought. Also we forecast the product sale according to the real company situation and the requirements of our current and future customers. Also this text is for the long term aim of the company, emphasizing how to establish and develop the company competition advantage and core capability, also the strategy value of the project.The main structure is according to the importance order to the project investment. The first chapter is researching the strategy meaning of project investment, evaluating if it is valuable to the company. Chapter II: Search the market of automobile parts linkage products and the vehicle development, evaluate if there's market value of the influenced parts. Chapter III: Analyze finance according to the forecasted sale income, evaluate if there's finance value. Chapter IV: After the prophase research is confirmed, analyze the required capital and how to prepare, evaluate if the project investment can be realized. Chapter V: Analyze if there's development basis according to the actual situation of the company product. Chapter VI: Analyze the company sale strategy, evaluate if it is helpful to exploit the product market. Chapter VII: Research the possibility of accelerating product development at the basis of the internal management and organization of the company. Chapter VIII: Analyze the external environment of the project investment, and evaluate if it is helpful to the company management. Chapter VIIII: Evaluate the project investment risk, and research how to avoid it. Chapter VV: Briefly evaluate the social benefit of the project investment. Finally get the result if the project investment is valuable.
Keywords/Search Tags:W company, Linkage products, Value analyses
PDF Full Text Request
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