The Strategy Research Of Hunan Taiji Building Materials Co.,Ltd

In recent times, since the enterprises competition become more and more fierce, making enterprise strategy correctly and then implementing it effectively prove to be the critical factors to be succeed in market competition. Hunan Taiji Building&Material Co., Ltd. is a joint venture ("JV" is short for "Hunan Taiji Building&Material Co., Ltd." in the following) between Hong kong Junefield Group and Lianyuan Iron&Steel Group Co., Ltd. The JV has two advanced ground blast furnace slag vertical mill production lines. Annual output of each line is6000,000tons. The JV now is mainly making use of the blast furnace granulating slag to produce and sell the ground blast furnace slag. Through years of market games, JV and its major competitor called Huaxin Cement Co., Ltd. have basically formed a equilibrium competition pattern. Along with Hunan high speed urbanization construction development and the arrival of infrastructure peak times, Hunan building material industry faces huge development opportunity. Especially under the current low-carbon economy trends, the JV has advantages in line with policy. Nevertheless, once the ground blast furnace slag project of Lengshuijiang Iron&Steel Co., Ltd. on production, JV exclusive advantages in central and western Hunan will break down thoroughly and its position will look like between hammer and anvil. So how to dissolve menace and take full advantages of external opportunity, and what is the next development is the issue which the JV decision-makers should consider.By taking JV as research object and adopting scientific systematic strategy studies method and means, this essay analyzes each strategy environmental factor of JV. Firstly the essay applies PEST analysis methods in spheres of politics、economy、 society、technology to analyze the macro-external environment of JV, and applies Baud"Five Forces Models"to research and analyze industrial competitive environment where JV is. Meanwhile, the essay analyzes the competitors of JV and makes a list of external environmental opportunities and menace which JV faces. Secondly the essay analyzes the internal resource and capabilities and applies value chain analysis methods to analyze chief value creation of JV, and analyzes merits as well as disadvantages of JV itself. Thirdly through combing comprehensive utilization of JV resource and SWOT Matrix Matching, the Matching principle is to display the superiority and use opportunity and overcome weakness and avoid menace., the essay proposes that make JV as a green and environmental building material production base and make JV unique in Hunan. The essay also proposes a enterprise prospects that is to enlarge JV as a large-scale building material enterprise and to make JV a number one among Hunan ground blast furnace slag industries in short term. And the essay also proposes a long term strategy goal that is to make JV a large-scale building material enterprise group in Hunan which involves multiple building material fields. And then the essay makes a next step strategy plan for JV:Stick to Low-Carbon development direction. Lead a way to comprehensive utilization of resource and recycle economy. Adopt integration strategy to remove threat of new entrants and to expand scale and strength. Implement diversification strategy to solve shortage of singular products and to expand business. And strengthen JV itself the comprehensive competitiveness. Make JV a large-scale building material enterprise group and keep its competitive advantages all the time. At the end of the essay, it elaborates strategy implement principle and supporting measures while implementing strategies, such as organizational structure, resource allocation, organizational system, enterprise culture and meanwhile it puts forward suggestions which can successfully implement the strategies.