Shenhua Coal Group Company Of The Development Of The East God Resource Dependency Analysis

In order to survive, an enterprise must obtain resources at its surrounding area and take exchange with environment. No enterprise can survive and support by their own. Based on resource dependence theory, internal relation and interaction between enterprise resource demand and interest orientation by local government for Shendong Coal Group under development are analyzed through descriptive case study in this article. In addition, this article showcases three stages of establishment, exploration/development and million-ton development in accordance with development history for Shendong Coal Group Corporation and take analysis on resources relied by an enterprise development and interest demand by local government at each stage.At the beginning for mining area development, local economy was so weak that failed to develop coal resources at large scale, however, fund, policy and technology such central enterprises as Shenhua and Shendong had were what local government are eager for. Developing resources and economies for local government met their most urgent need. Under this strong demand, local government took the initiative to give up dominant right in resource development and give the right back to the central enterprise.During exploring development for an enterprise, although local economy improved, the enterprise was still not able to take full charge of managing coal resource development. Therefore, it was an inevitable choice for local government to obtain financial, technical and political support from central enterprises, but matching with economy, local government had already started to make use of various ways to retrieve its disadvantage in coal resource development.Since entering into new century, with overwhelming coal market, local economy achieved leap-style growth and some difficult issues in terms of finance, technology and others troubled local government before were solved smoothly. Therefore, local government can make easy choice as partner among central enterprises, state-owned enterprises and private enterprises. Even if in central enterprise scope, Shenhua and Shendong was not only one choice any more. Consequently, Shandong was actually in passive position between two parties’interaction and further strengthened its dependence on government, while government having significantly less dependence on Shendong. Position changes from active control, equal treatment to passive subordination experienced by Shenhua and Shendong during their development and resource dependence and interaction with local government as well demonstrated the study on relations between enterprise resource and local government’s interest orientation and some experience for future development of an enterprise.