New Market Development Strategy Research Of China Integrated Circuit Distributor

It is reported by china custom’s statistics, IC imports amounted to us$170.2billionin2011, which made increase of8.4%compared to the past years. At the same time,export value amounted to us$32.57billion, which get growth of11.4%. China marketdemand is huge, but the fighting between IC distributors is bloody competition, Chinalocal IC distributor are facing more pressure from world wide distributor, the situationis more tough and seriously. According to analysis of IC industrial value chain, thispaper present that market development strategy based on secondary innovation is wayfor china local IC distributor to build up core competitiveness and keep sustainabledevelopment of the industry.This paper integrates theory with practice as below.Firstly, this paper comb the IC development process and distribution of IC industrychain through Global Value Chain, and summarize the value obtain mode of IC supplierand IC distributors. Based on WT group, I take SWOT, Five Force tools and STP toanalysis IC distributor problems by two aspects of external competition and internalcore competitiveness.Secondly, based on above analysis of theory and data, this paper summarizecharacter of china market demand, and point out that demand of variable and integrationis big challenge to expand biz in china market. Further, this paper conclude that marketdevelopment strategy based on secondary innovation is way for local IC distributor tobuild up core competitiveness and take major strategyFinally, this paper verifies theory through new market development case of WTgroup, and concludes the result of market development strategy based on secondaryinnovation.