Research On The Competitive Strategy Of S Logistics Co.LTD

The economy of China has developed fast since1990s, which brings benefits to the development of the Third Party Logistics in China. However, the development of the Third Party Logistics in China is generally at low level, and the competition is becoming fiercer. The foreign-invested enterprises are rushing to capture the high-end market, while the domestic companies are competing excessively in the low-end market. With the current fierce market competition, the key for Company S to survive and develop is to consider the external environment of development, internal resources and capabilities, and establish applicable competition strategy.The paper is devoted to the research of Company S’s external environment of development, internal resources and capabilities on the basis of Basic Competition Strategy, Core Capability Strategy, Blue Ocean Theory, Business Ecosystem Theory, and Co-competition Theory. From the Perspective of external environment of development, the Third Party Logistics is still the direction and tendency of the modern logistics currently. The macro-policy and legal environment are in favor of the development of modern logistics, and the location and competition advantage of Company S bring out the best in each other, while for the information system of logistics within Shandong Province there are still room for improvement, and the competition in similar business is fierce, which exerts huge pressure upon the development of Company S. From the perspective of internal resources and capabilities, Company S in growing has excellent company culture, and is advantageous in terms of customer resources, information technology development and financial leverage, whilst Company S is facing with the hard reality in respect of the traditional company organization, small scale and low visibility in market and etc.The paper makes analysis of the feasibility and applicability of the Cost Leadership Strategy, Differentiation Strategy and Focus Strategy respectively with the external opportunities and threats as well as internal resources and capabilities into consideration. It’s concluded that Company S should engage in differentiated focus competition strategy which combines the differentiation and focus of goals at current stage. Meanwhile, Company S should successively explore the blue ocean of logistics, fortify the capability of independent innovation, and seek to exploit new logistics market. Next when the company attains the advantages on technologies and scale effect, the Cost Leadership Strategy could be put on Company S’s agenda.The Competition Strategy should be implemented through brand marketing, safety management, value-added service and market classification. To ensure the smooth implementation of the strategy, Company S should establish the corresponding safeguard measures in terms of organization, equipment investment, information system, human resources and company culture...