The Study On The Development Strategy Of Consinee Group Company Limited

Economic globalization and informationalization progresses rapidly, andthe industrial distribution of textile industry has taken great changes. Whilethe industry’s globalization division and cooperation of labor has becomeincreasingly close, it also brings regional atrophy and imbalance. The textileindustry has facing unprecedented pressure especially since the globalfinancial crisis in2008, and its market prospect’s uncertainty is growing. Byanalyzing Consinee Group company limited’s external environment andinternal situation, this paper aims to formulate the Group’s developmentstrategy in order to improve its business decision-making process, making itmore scientific and effective, from which Consinee Group can realizesustainable development under the cruel, complicated and changing externalenvironment.This paper taking Consinee Group as the research object, based onenterprise strategic management’s theory and method, tools such as PESTmodel, Porter’ Five Forces model, EFE matrix, IFE matrix and so on toanalyze the company’s internal and external environmental, then finds out thekey factors that influence the development of the company. It uses SWOTmatrix to analyze opportunities and threats, advantages and disadvantages thecompany facing, then confirms Consinee Group to choose the developmentalstrategy as its overall strategy. According to the company’s vision, century strategy map and advantages of internal resources, choosing the developingstrategy mode of Vertical Integration that centre on the Cashmere yarn, thecompany’s forward integration priority should be given to the diversificationand high quality of products, the network and efficiency of the marketingchannels, the reputation and influence of brands; backward integration shouldstrengthen the base construction of the raw material of cashmere by the wayof strategic alliance or investment to have a certain control of the rawmaterial market as the goal, and develop the industrial chain at both ends toexpand the company in the industry chain with high profit. To choose thecompany’s competitive strategy by using quantitative strategic planningmatrix (QSPM matrix), it found hybrid strategy matches the marketcharacteristics that the domestic and foreign customers are sensitive to price,have high demands for quality and customization which Consinee GroupfacingAccording to Consinee Group’s vertical integration of overall strategyand mixed competition strategy, this paper formulated safeguard measures forthe strategic implementation on five aspects ranging from optimizingorganization structure, improving the core ability, consummating functionmeasures, strengthening information construction to the building ofcorporation culture.