Sundiro Holding Ag Is The Development Of Strategic Research

The importance of a reasonable development strategy to a corporation has been greatly proved by many cases, largely speaking from abroad to domestic, and from large enterprises to small and middle sized companies in a small sense. A suitable enterprise strategy can help the corporation to adapt to every situation and also to conquer new markets. We can say that it plays as a guarantee for its long-term success.First: Background and purposeSundiro Holding Limited Corporation is a listed company, with producing and selling motorcycle as its main industry and some other industries like housing, electric motor-bicycle, logistic and mine-digging industry as a supplement. Now the corporation is facing problems from both outside and inside. The inner problem is that the main industry of motorcycle has long stopped to move forward and at the same time the other supplement industries hasn't got the competitive advantage and are all in the inferior place in their fields respectively. The outside problem is that the whole motorcycle industry is now at its critical period to transform to an oligarch competitive market, because the centralization of the industry has been fierce. On the other hand, Sundiro has some inner advantage and outside chances to lead itself to a brighter developing future. The inner advantage is its good brand reputation, research & development capability and some experience in immerge & acquisition. After the successful MBO the company has taken, it geared itself with a wonderful inner engine. The outside chance should be looked in this way. With the sustained, steady and rapid development of our country's national economy, especially after the taking-out of the Eleventh Five-Year Plan and the effective solutions to three dimensional rural issues, the purchasing power of this country has been greatly increased and of course as well as the domestic demand, both of witch ensure companies in this field a wonderful chance to develop that has never seen.What should the corporation do to merge and utilize its own resources and capabilities effectively to avoid outside threats and go onto a brighter developing way? From the strategy's point of view, the author uses both methods of qualitative and quantitative analysis and tries to make a reliable choice in development strategy for the company, based on an comprehensive utilization of industry structure theory, resource capability theory and transaction cost theory.Second: contents and main pointsChapter One is an introduction. The object of our study, Sundiro Holding Limited Corporation is briefly introduced in this part, and as well as the purpose and structure of this paper.Chapter Two analyses the outside strategic environment of the company, mainly the analyses of the macroeconomic environment, the industry it belongs to and the competitive environment, which include policies and laws, economy, culture, technology, globalization, industrial situation and industrial competitive structure etc. On the basic analyses of them respectively, the author makes a comprehensive one of the outside environment via EFE matrix.Chapter Three focuses on the resources and capabilities of the company, mainly including some analyses on its visible and invisible resources, and the productive and selling capability, management capability, research and development, financial capability and the capability to utilize information technology. Then the author gives us a comprehensive quantitative idea of its inner environment through IFE matrix.Chapter Four comes up with Sundiro's strategic choices. Via utilizing some strategic analysis tools such as IE matrix, Environment and Resource Potential Analyzing matrix and etc, two development strategies can be drawn out easily, named stable-based development strategy and expand-based development strategy, and of course as well as two competitive strategies, which are minimum-cost strategy and forward-oriented integration strategy. At the end, a simple discussion is made focusing on the main problems of realize minimum-cost strategy through immergence and forward-oriented integration strategy through investing and holding shares of county-centered stores, which may occur during the taking-out process of these strategies. Third: main contributionThe main contribution of this paper is that a practical whole developing strategy and competitive strategy are provided, based on the qualitative and quantitative analyses of both outside environment and inner resources and capabilities. And in addition, this article gives the manufactories with a scale effect a new reference on how to make practical strategy from the standpoint of its own situation when facing similar outside environment.