A Research On The Differentiation Strategy For DA Wood-based Panel

With China’s rapid economic development, the number of wood-based panel enterprises rose sharply. Advanced technology, updated equipments, improved service and product quality have brought about a new round of rapid development of the wood-based panel industry. However, under the temptation of high margin and high return, some idle capital has entered the wood-based panel industry, leading to a series of problems in the whole industry, such as a relative excess capacity, short supply of raw material, the rapidly rising cost of production, capacity oversupply, serious product similarity, the smaller difference in technology and service between enterprises, lack of innovation and so on. As a result, the benefit of wood-based panel enterprises continue to decline, and the survival and development of enterprises are facing a severe test.Under the current economic development and environment in wood-based panel industry, as a leading enterprise in wood-based panel industry, DA Group’s DA Wood-based Panel Group has an urgent need to find a solution to such problems, in order to obtain sustainable development. From the actual situation of DA Wood-based Panel Group, with the use of strategic management theory, PEST Model, Potter Diamond Model, SWOT analysis and other strategic research models and methods, based on the comprehensive analysis of the internal and external environment of DA Wood-based Panel Group as well as problems in its management, through considering its internal advantages and disadvantages, external opportunities and threats, this paper puts forward suggestions on the implementation of differentiation competition strategy concerning product, brand, market, service and employees. This paper further puts forward measures to guarantee the implementation of differentiation competition strategy from the timber resources, technology research and development, the integration of industrial chain, the development and reserve of human resources and internal allocation of financial resources and other aspects. The implementation of this differentiation competition strategy has certain reference significance to DA Wood-based Panel Group in optimizing the allocation of resources, ensuring the sustainable supply of timber resources, promoting the adjustment of industrial structure, improving the enterprise management level, constructing sustainable enterprise competition strategy, and further enhancing the core competitiveness of the enterprise.