Study On The Development Strategy Of Dalian Shipping Group

Dalian Shipping Group (DSG), a medium-sized state-owned enterprise majored in shipping, got a rapid development these years during the process of Dalian Government’s economic plan of accelerating construction of Northeast Asia International Shipping Center. However, DSG began to encounter fallen income dramatically and even deficit by the influence of international economic status in recent years. DSG is in the industry of high barriers to entry and exit. And it has long-term partners in shipping industry. DSG is facing the opportunities in world economy recovery and nice prospect in shipping industry, and it is also facing all kinds of threats. So DSG has to change its development strategy and get sustainable competitiveness.This paper uses the strategy management theory and analysis tools to analyze internal and external environment of DSG on the base of management survey. It especially dose PEST analysis of external environment under the background of shipping industry crisis, and clarifies the opportunities like world economy recovery, rapid economy development of China, national policy support and dynamic economy activities in Northeast Asia. It also finds the threats like fierce competition in shipping market, higher external costs and sustainable influence of shipping industry crisis. This paper analyzes internal environment, and sorts out the Strengths like local government support, high tangible and intangible assets, high risk resistance capacity and numerous professionals, as well as the weaknesses like unreasonable business structure, weak management ability and high operating costs. Based on the survey above, this paper does SWOT analysis and proposes strategy of concentric diversification, resources integration and cost control, and puts forward safeguard measures from eight aspects that are changing business structure, reducing internal costs, seeking external cooperation, strengthening marketing, improving performance appraisal system, introducing and training talents, and reshaping enterprise culture.The survey method of this paper also provides useful reference for other shipping enterprises to choose development strategy during shipping industry crisis.