Development Strategy Research Of KB (China) Group Company

Excavator industry, leading the economy and investment growth, has been greatly influenced by the macro-economic environment. On one hand, the control policy of Chinese government in real estate reduced the proportion of excavator on the type of 20t. Beside, energy construction and mining affect the mining excavator sales. On the other hand, driven by new government’s "No Economic Stimulus, No leverage" policy that aims at the adjusting the structure of economic growth, as well as the early 4 trillion investment stimulus policy, demand for excavator has reached record highs. Thus the two opposing forces, bringing a recession decline on excavator sales, sent a scare through the excavator market, which turned it from a seller’s market to a buyer’s market:too much capacity, huge stock market, a lot of idle equipment, and whereas some companies had been closed down, some others were struggling on the verge of death.In the twenty years’ development of excavator industry, customers, turning from irrational and immature to mature and rational, has experienced great changes. Moreover, population structure changes and the demand for excavator tend to be more diversified, the enterprises need to change as well, in order to survive and develop in the excavator industry. But how to change and which should be changed? Thus it requires re-examining the environment changes and formulating the development strategy of the enterprise to satisfy customer needs and make a better development for enterprises. This paper aims at the above, hoping it can be useful for company KB.The paper consists of five chapters. Chapter 1 is an introduction to the background, purpose and significance of the research, and the studying thoughts and methods. Chapter2 gives a brief introduction to KB Company, based on the situation of the staff, organizational structure, development history and status and so on. Chapter 3 is an analysis of internal and external environment of enterprise, which specifically analyzes the macro environment, industry environment, competition of KB Company and the changes of customers. It analyzes the company’s internal environment as well, including management ability, marketing ability, culture and human resources of the enterprise. It uses SWOT analysis method, based on the advantages, disadvantages, opportunities and threats. Chapter 4 is about formulating the development strategy of KB Company. It puts forward the vision and mission of KB Company, and assures the strategic target and the strategic choice of companies, which means taking stability strategy in forms of strategic alliance. In the end it analyzes the company’s competition strategy and its realization way. Chapter 5 lists the specific resources needed and guarantee measures for the implementation of company strategy.