Integration Of China's Steel Distribution Industry Chain Of Middlemen

As China's steel production increased year by year, the steel industry capacity serious excess of supply and demand become more prominent. The face of China's steel enterprises to survive changes in the environment, the more intense competition between the iron and steel enterprises in China, and gradually evolved between the industrial chain for the industry where the competition.Steel distribution companies in the industry chain, located upstream of the iron and steel manufacturers and downstream users will be faced with the "big two", in the middle of the situation by both the upstream and downstream profits squeezed, facing the steel industry consolidation threats. Steel distribution middlemen only a comprehensive analysis of their own position in the industrial chain model innovation, or the vertical extension of the formation of alliances with upstream and downstream enterprises to participate in the distribution of lower corporate profits; to enhance the scale or horizontal integration with other trading enterprises to improve their position in the industrial chain, in order and on the upstream and downstream enterprises to compete, to build strong industry supply chain system.This article by a combination of theory and case study approach to our country a well-run steel processing and distribution center case. Theory with practice, which are detailed build and development of the steel processing and distribution center, summed up its advanced integration model and market position, the other problems and shortcomings that exist in the steel processing and distribution center development process, thus the flow of the majority of China's steel trade intermediaries integration of practical experience to play a role of reference for the other in the steel processing and distribution system.