Differentiation Strategy Of HAN’ YAHAM

After years of development, China LED industry has gradually grow into a world manufacturing center for LED products, and it has formed the integration of upstream and downstream industry chain for LED encapsulation and LED application products. LED enterprises also have developed into integrated companies with research, development, production, and sales. The change of international economic environment and China domestic economy continues to grow has provided Chinese LED industry development with chance and challenge. On the one hand, it has provided the LED industry rapid development and integration a good external environment; On the other hand, the competition in the international and domestic market also put forward a new challenge for LED enterprises. The current situation of Chinese LED enterprises requires us to further study enterprises development strategy in the international competition, and provide the basis for enterprises to expand the international market.This thesis takes SHENZHEN YAHAM OPTOELECTRONICS CO., LTD (hereinafter referred to as Yaham Optoelectronics Company) as the object of research. The company is mainly engaged in LED full color screen, LED lighting and LED display business, including manufacturing, transportation, sales, research and development. As a professional enterprise in the field of LED industry, Yaham Optoelectronics Company has become a domestic well-known private joint-stock high-tech enterprise. After years of development, it has become the LED leading enterprise in China, with bigger industry scale, better efficiency, and relatively clear market outlook, which leaves good condition for thesis study. This thesis uses PEST to analysis company development environment, including political and legal environment, economic environment, social environment and technical environment, the analysis result shows a positive environment state. However, in the current constantly changing global economic environment, Yaham Optoelectronics Company faced with the risk of industry reshuffle. On the basis of the PEST analysis, I use Porter’s five forces to analysis the threat that company encountered in the process of development, including the threat of potential entrants, substitutes threat, suppliers bargaining power, existing customer bargaining power and industry competition between rival. Through PEST analysis and Porter’s five forces analysis, combined with the differentiation competitive strategy theory, it concluded by showing that Yaham Optoelectronics Company should adopt differential competitive strategy, followed by setting a clear company’s strategic target, and state that the differentiation competitive strategy content should include the product differentiation, service differentiation, marketing differentiation and sales differentiation. The thesis also analyses the returns and risk of taking differentiation competitive strategy. Through unique product, perfect service, accurate marketing and sales strategy, the company will establish a well-known brand, to win customer’s long-term trust and loyalty, so as to maintain long-term competitive advantage. Finally, the thesis proposed the implementation and control of differentiation competitive strategy.