Research On The Development Strategy For Goldcup Electric Apparatus Hengyang Cables Co. Ltd.

The development of wire and cable manufacturing is closely related to thedevelopment of national economy, and it is developing along with national economy,thus, the wire and cable industry of our nation is still in the sustainable developmentstage. But at the same time, problems of the industry such as the surplus of total mass,the acute structural imbalance are becoming more and more serious. Combined withthe national macroeconomic regulation and control, the reformation of electric powersystem, this industry is also faced with many uncertainties and risks.In order to GCEA Hengyang Cables Co., Ltd(hereinafter referred to as Gold CupCables) as the object of study, this thesis research its development strategy under thenew situation combined with the general principle of company strategic management.First of all, this thesis analyzes the enterprise’s present situation in the wire and cableindustry, the development tendency and competition pattern. Through the externalenvironment analysis, we know that there is a glut of total capacity in wire and cableindustry, which makes the fierce competition in the market. But from the developmenttrend of national economy, the wire and cable industry will still show a rapid growthin the next5years. This thesis, comprehensive analyzing Gold Cup Cables’ abilityfrom the five-force model, using analysis tool of SWOT to match, and makingcomparisons with intensive growth strategy, unify strategy, diversification strategyand business tier strategy, put forward new development strategy thinking of Gold CupCables. At last, This thesis puts forward relevant supporting measures considering thepossible barrier in the process of strategy implementation.This study argues that the strategy of Gold Cup Cables shall change from “RedSea” to “Blue Sea”, which means to leap out of the market environment of lowtechnical content, serious homogenization, tiny profit margin using technicaladvantages, enter into the high-end cable market of higher technical content, largemarket space, so as to win more profit for the enterprise and promote the benigndevelopment of the enterprise.