| In October 2003, Korean company - DY Mechatronics automotive division's first Chinese manufacturing plant was completed its construction, started its development history in China. In 2007, 4 years after establishment, DY Mechatronics (Yantai) Co.,Ltd. has achieved around CNY 200 mil. of sales turnover with 260 employees, 19 automatic and half-automatic production lines and 8.43mil. units of annual motor capacity, stabilized its position in industry. Besides, she is planning to establish second Chinese plant, in order to further expand market share and position.However, due to the change of Chinese investment policy and continuous increasing of labor cost, it is not so bright to sustain its development in China, especially for the small and medium-sized enterprises. Moreover, expectations for the China auto market's huge scale and the potential development opportunities led not only the entry of vehicle makers, but also the numerous components companies. This circumstance provides DY the development opportunities and the threat factors, at the same time.Which developmental strategy and policy does DY Mechatronics need to adopt in order to sustain its development in China auto market?This thesis studied and understood DY Mechatronics'current business environment, industry position, company's resources and capabilities, through the analysis of macroscopic circumstance and market structure which DY's automotive business is facing. Based on this, the essential abilities that the company should have are analyzed in order to become a top automotive parts maker in industry, through measuring the strengths, weaknesses, opportunities and threats which DY is confronted, and systemic competition strategy suggestions based on basic competition strategy and alliance strategy theory are made to DY Mechatronics. |
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