Research On Competitive Strategy Of Huatai Textile Co., Ltd

Huatai Textile Company runs business mainly in chemical fiber fabrics, which takes the advantages of producers around Kunshan and provides well-qualified services for clients with the full acknowledge of the whole product chain. Most of the clients come from Jiangsu Province, Zhejiang Province, Shanghai and some southeastern areas. The company gains their best compliments for its perfect quality-inspection system and punctual delivery, which help the company win the serious competition in this market.In recent years, trade for textile and clothes is facing with unprecedented difficulties, such as surplus production in this industry and extremely fierce intra-industrial competition. How to upgrade and transform for a traditional textile company to explore a way to survive in this cruel trading environment is a key project. According to the analysis of macro-environment and industrial chains with the current economic development, the paper analyses the industrial environment and dissects the trading situation in details, using the theory of Five-Force Model, and makes prognosis for the future tendency of this industrial development. Based on the internal situation of the enterprise, the paper also analyzes in details the internal resources and capabilities, the advantages and disadvantages of this enterprise, chances for the enterprise and threats to it by using SWOT Model. Then the enterprise designs its development strategy to be a supply chain facilitator. According to the characters of the target clients, the enterprise sets a service location to be a supply chain facilitator in advance, and then to be an integration facilitator who offers clients clothing material. Combined with it actual situation, the enterprise adopts difference strategies to ordinary client groups, and classification strategies of concentrated difference strategies to key clients. According to these strategies, the enterprise innovates and reforms its internal business model, optimizes the management of supply chains by integrating internal superior resources in this industry, and promotes the management of supply chains to meet the clients’ requirements to improve the core competence of the enterprise. In strategic actualizing measures, this paper mentions that the enterprise pays more attention to its research and development, adjusts the structures of sales, and makes a preliminary study on human resources ascension, incentive mechanism support, financial funding and enterprise culture.The current competition among enterprises has been developed into a competition among supply chains, this paper explains that based on the characteristics of chemical fiber fabrics industry, the enterprise is trying to develop new products, set up the organization of supply chains which are outstanding in sale ways, and the virtualized production management. And the enterprise adopts the strategies which help make small and medium enterprises in chemical fiber fabrics industry capable of unique competitive advantage, this enables our enterprise upgrade and transform from a traditional trading company into an enterprise who offers supply chain services, then into an integration facilitator who offers clients chemical fiber fabrics in one-stop trading.