Enterprise Ecological Management Study

After entering the 21st century, and joining in the WTO, we have found magnificent gap between the Chinese enterprises and the world famous enterprises. The average lifetime of Chinese group company is 7-8 years, 2.9 years for medium and small size enterprises, which are both far from establishing a long-lasting famous brand. Some say China need no brand after entering WTO while the best is to be the manufacturer for foreign companies. Therefore, the key to establishing a brand is prosperity and lifetime.The study on firm life started from the "life time theory" in 1970s, then continued by "firm age" and "firm's core competence". Different from the traditional management, the ecological management regards firm a living organic unit, in which conceptual nerve, and systems of circulation, digests and immunity are all included. It experiences its birth, growth, reproduction, aging and death. The objective of a firm is to survive but not for maximum profit. The condition for firm survival is to create value for customers, but not for producing products. The growth strategy of a firm is co-evolution with its stakeholders, but not the mode of "you die or I live".This paper analyses the economic system form the view of the natural ecology between living creatures and environment. It discusses the structure, functions, process and growth of the firm ecological system. By using Darwin's theory, it discusses the interaction, competition and cooperation of firm and its living environment while emphasizing the function of the "food chain". On the basis of focus on firm's conceptual nerve-decision making, firm's nerve system-information, firm's blood circulation system-financial management, firm's digest system-marketing, firm's urological system-operation management, firm's immunity system-crisis management and firm's maintenance-care system.The growth of Haier is suitable for the firm ecological management theory. This paper puts forward some suggestions for Haier after analyzing its evolution, including its growth strategy evolution, operational process, service evolution, HR development, technological evolution, and its integrated marketing.This paper explores some reasons for firm's growth, survival, long-life and death. The firm ecological management is a mechanism and a methodology, it makes a firm more harmonious, more health and more valuable. It needs more theorists participate for the further study and practice.