Industry Status Quo Of Chinese Herb Extracts And Chinese Enterprises Development Strategy

The industry of TCM extract is separated from the industry of TCM, according to the requirement of the international and domestic market. On the one hand, it is considered that the industry of TCM extracts is the base of the modernization of TCM, the realistic way of TCM's internationalization. There is a strategical signification to develop the industry of TCM extracts energetically. On the other hand,we should take it as one independent industry, a new industry with huge requirement of market. We can't relate it with the modernization and internationalization of TCM fully. TCM is the treasure of China and we have the tradition to use TCM for thousands of years, meanwhile, we have abundant natural resources. But the level of our TCM extract's industry is lags behind compared with Europe and Japan, etc. We should establish the definite competitive strategy as early as possible to fit the requirement of the international and domestic market, in the face of the global rapid growing markets of natural medicine, natural healthy ingredients and natural daily-using cosmetics. According to the SWOT model analysis of TCM extract's industry, compared with the modern experience of oversea's industry, t is found that the most essential reason to restrict the industry's development is the blurry developing strategy, which makes the enterprise short of kernel competitive power, low marketing level, the ability of technology and innovation feeble and the low-level malignant competition. The characteristic of the enterprise is different, so the chosen competitive strategy is different. 'Low cost strategy', 'difference strategy', undivided strategy' are the necessary definite choice for each enterprise. The enterprise should change the 'marketing direction' to ' strategical direction'. Under the guidance of strategy, we should suit the remedy to the case, establish the kernel competitive powder as the centric task, utilize fully the station of resource and characteristic, import the advanced administrating idea and science, follow the regulation and convention of international economy and trade, promote continually the ability of technology and innovation, get rid of the low-level malignant competition. The industry of TCM extracts is a new industry with developmental potential, and the development can't depart from the positive support and the scientific guidance by the government .Only when the social resource , enterprise resource and other multi-kind resource collocate together reasonably and develop jointly, can the growing speed of industry be faster, the industry of TCM extract, this high technology industry can have a healthy and continual development.