SM China Branch Processing Trade Business Strategy Transition Of Business Strategic Transformation

In recent10years, accompanied with the progress of economic globalization, especially after China joined the World Trade Organization (WTO) in2001, the reform of China’s foreign trade management system and foreign economy began to open up gradually. Barrier effect of the original trade control measures is greatly reduced. At the same time, international information communication channels is more convenient and diversiform through the network communication technology constantly updating, then along with the application and expansion of international trade e-commerce platform, the influence of large multinational supermarket chain management mode, The distribution chain of international trade is becoming more and more flat. With many foreign multinational business tentacles directly into the domestic market, while many traditional domestic manufacturers have started to enter the international market and conduct foreign trade activities. The traditional international trade channels and professional business model has been subverted. The economic environment conditions of the Chinese traditional foreign trade enterprises engaging in international trade activities have the very big change. These changes will force the traditional middleman company to transits the business strategy in foreign trade.SM is a company who has38years history of being private foreign trade dealers. Its main business is import and export trade with sample processing garment. Undertaking orders from foreign brand manufacturers or wholesalers production abroad and then finding the domestic garment manufacturers to produce. After producing the processing of the products, and then handling of goods import and export procedures and arranging to transport the goods delivered to customers to the specified destination. For the goods with import and export formalities, then arrange to transport the goods to the customers designated destination. Under the changes of the international trade business environment in recent years, the traditional professional intermediary business model has been under the serious impact and challenge. It is imminent for SM company to implement the transformation of processing trade business strategy.In this paper, basis on the analysis of value chain theory and SWOT competitive strategy to the SM company. The paper shows the SM company should change the traditional business mode. Draw lessons from the development path of the fourth industry. It needs to draw on the development path of the fourth industry and make full use of the value orientation and the core competitiveness of the company’s business model, to make a strategic transformation of management model. The first is through the service information platform to build linkage, integrate the resources of supplier and customer, then distinguished and classified the traditional OEM trade. The second is to shift to the ODM service provider. Advancing the traditional trade service, excavating and meeting the guest needs in depth to provide a value added service to the guests. Third is a company incorporated in intelligent service platform, gradually develop and improve service high-end value, so as to obtain higher profits and format a new competitive advantage. This paper will further analyze the implementation and how to realize the strategic transformation of the enterprise from the angle of enterprise value strategy positioning adjustment, resource organization, and management information system. Research conclusions of this paper will provide the path guidance to the processing trade management strategy transformation of SM company and have reference significance to choice of management strategy of other similar foreign trade company.