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Foreign Multinational Trading Company's Core Competitiveness And Business Strategy In China

Posted on:2009-08-29Degree:MasterType:Thesis
Country:ChinaCandidate:Y Z FanFull Text:PDF
GTID:2199360272989391Subject:Business Administration
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Being a vivid representation of the ebb and flow of thousands of years' Chinese history, international trade has been playing a very important role. After the foundation of the New China in 1949, the international trade industry has undergone a developing course from null to emergence. With the startup in 1980s, through the strenuous expansion in 1990s, the industry has run into the fast drive since our country joined the WTO in 2001. As time went by and the renovation to the international trade system went deeper and deeper, in China there appeared three main types of international trading company: large state-owned international trading company, medium and small private international trading company and large foreign capital multinational trading service company. This article will research into the 3rd type: the foreign capital multinational trading service company which appeared on the basis of the development of our country's international trade industry after the adoption of the reform and opening policy. We'll try to analyze the core competences of this kind of company and its core-competence-based business strategies in China.This article will start from the industry analysis of our country's international trade business, including the analysis of the development course of our country's international trade industry and its main characteristics, the burgeon and developing background of those three types of international trading company and their main characteristics as well, in addition we'll cite one or two samples for each type of them.Further to the analysis of the development course and characteristics of our country's international trade industry, the 2nd chapter of this article will focus on the analysis of the 3rd type of trading companies, mainly compared with other two types, via the comprehensive analysis of the internal and external environment, then by the SWOT method, to find out the core competences of this type of trading company: the coordinating and optimizing ability of the worldwide supply chain, good management and organizing ability. As Foreign capital multinational companies doing trading business in China, to realize the application and extension of their core competences, their business strategies are mainly: To realize and strengthen their core competitive advantage via coordination and optimization of the worldwide supply chain. To advocate social responsibility, effectively introduce excellent managerial ideology and methodology to Chinese suppliers. To care Chinese elements, increase the managerial flexibility, and achieve effective trans-culture management.Chapter 3 to chapter 5 goes ahead to discuss the core-competence-based business strategies of the Foreign capital multinational trading service companies operating in China. In chapter 3 we'll discuss the optimization and management of worldwide supply chain, including the selection and management of suppliers, logistic distribution management in the worldwide supply chain environment, information system management and etc. Via an instance of Li&Fung Trading Limited, we'll further illustrate the operating mechanism and competitive advantage of supply chain management. In chapter 4 we'll analyze how the foreign capital multinational trading companies persistently carry out supplier education on social responsibility and introduce their good management methods and experience to suppliers, for them to pay more attention to social responsibility and to achieve management upgrade. The instance of Polyconcept Trading Limited can well illustrate this point. In chapter 5 we'll discuss how the foreign capital multinational trading companies achieve effective trans-culture management in China, through explanations on the main issues of trans-culture management, how they can combine the excellence of both the traditional Chinese culture and western scientific management ideology and methodology, to implement local management and enhance the flexibility and effectiveness of management.
Keywords/Search Tags:International Trade, Foreign Trade, Foreign capital Multinational Trading Service Company, Core competence, Business strategy, Worldwide Supply Chain Management, Social responsibility, Management Upgrade, Trans-culture Management
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