Study On Competitive Strategy Of Jinan Gome Co.,Ltd

Gome group was established on January 1,1987, was the largest chain enterprise mainly on the retail of household appliance and consumer electronic production in China. Jinan Gome CO LTD was established in 2002, subordinated to Gome Group. Gome in triple trading company started the expansion in Jinan of vital strategy important which had the absolute monopoly status with 70% market share. Therefore, every step of the expansion of Jinan Gome was full of fierce competition. Since 9 years ago, Gome established in Jinan and made a great improvement on operation, sale and service, depending on its powerful strength. Now, there are 14 Gome direct stores in Jinan and 12 stores in other cities, such as Zibo, Tai'an, Liaocheng, Dezhou, Dongying, Jining, Laiwu and so on.26 main stores spread all around Jinan, constituted brilliant territory of Jinan Gome. However, after large-scale shop running, facing the fierce competition of "thousand shops looking the same" inter industry, how to be prominent on operation features and improve the operation quality on storefronts are the urgent problems to be solved of Jinan Gome.This article is a study on the basic competition strategy of Jinan Gome. On one hand, use the PEST analysis, five competitive forces model, external factor evaluation (EFE) matrix, value chain and internal factor evaluation (IFE) matrix to analyze and evaluate the macro-environment, industry competition and internal conditions of Jinan. Obtained by analyzing, as the development of economy and technology, the support of policy and the improvement of people's income in China, electric appliance retail market has great development potential. However, because of the market competition becoming fiercer, industry consolidation has been accelerated and household appliance retail enterprises are facing tough challenges. In view of internal resources and capabilities, Jinan Gome has distinctive storefront scale, the cost advantage of procurement scale of headquarters, the advantage of corporate culture and so on. But there are some shortcomings on the aspect of region network layout, internal talent and supply relationships. On the basis of it's mentioned above, the study positioned the development of Jinan Gome, built the SWOT model, and selected the competition strategy of Jinan Gome with quantitative strategic planning matrix (QSPM), determined differential competitive strategy.In order to ensure the strategy implement effectively, the aspects of putting the competitive strategy into effect are as followed:First, strengthen the construction of enterprise culture, advocate"being first, contributing social; keeping words, being honest and moral; appointing on one's merits, localizing staff; branding and being image-conscious." Second, make organization and management system to be perfect. Jinan Gome is continuous to summarize its own management model under practice and the guide of headquarters. From organization norms, business model, job responsibility to work process, standards and management system of the corporation, it is need to form a strict and feasible behavioral norms. Thirdly, pay attention to talented workforce cultivating. Jinan Gome carried out key backbones'management plan, selected and cultivated trainee of this company. Through a comprehensive evaluation of all staff's quality and ability, Jinan Gome should clarify people according to squares, select trainee groups and team members whom needed to be trained and cultivated emphatically, in order to ensure the backbone members and back-ups'ability of new-opening store. Fourthly, strengthen differential goods sale. It's an important measure to guarantee the increase of profits through sale goods and accessories with higher gross profit than competitors. Fifthly, the experiencing shopping environment offers consumers a selective and one-stop-shopping service. Sixthly, enrich marketing models. Charity marketing, culture marketing, depth and width marketing and integrity marketing can all improve the perceptions of consumers toward Jinan Gome and its sales promotions. Seventhly, guarantee services faithfully and permanently, focus on the improvement of secondary market services and the "faithful and permanent" services of primary market. Jinan Gome is a microcosm of national household appliance chain enterprise. This article is studied Jinan Gome as a case, brought up strategies and methods that can be a guild and reference to chain enterprises of household appliance, pushed household appliance retail corporations have health transformed and sustainable developed.