Study On The Development Strategy Of PARDE Limited Company

With the increasing of Chinese economy, the auto market has been expandedrapidly, the requirement of private cars growth rapidly, Chinese auto industry developrapidly too.The global biggest auto makers set up plant at Chinese market. PARDEwas as established in Changchun at this time. As a typical labor-intensive manufacturingenterprise, PARDE’s mainly competitive advantage is advanced manufacturing processoperations management, cost control effectively, improve the quality system to wincustomers and make a profit. But as China’s per capita income levels increased yearby year, PARDE’s labor costs also increased year by year and the profit graduallyreduced. In addition, the concept of lean production have been gradually accepted thedomestic industry and the promotion of other competitors in the same industry andhave been in-depth studied by them, they began to focus on cost control and qualitymanagement. So, PARDE’s competitive advantage is no longer evident. Market sharegradually PARDE’s carve other competitors.The current market competition has become intense, and even some companiesrely reduce prices and expense of profits to gain market. With such fierce competition,PARDE should change the direction of development, and take use of its advantageand to reoccupied potential market. For PARDE, with more than100years ofexperience in product development, manufacturing, service. According to PARDE’senvironment analysis, industry competitive environment analysis and SWOT theoryapplication to PARDE, PARDE should use its own advantages to adjust the strategic.Such as: first, to combine the service with the manufacture of new service-basedmodel, take use of their product development and manufacturing strengths and goodsand services combine to provide customers with the full product life cycle problemsolutions to win customers. Second, to improve cost control strategies, from productdesign phase to the final product shipping. The entire product life cycle from allaspects of cost control, cost control will send PARDE’s advantage to make higher profits. Third, take the diversification strategy to expand to other similar market, thusopening up greater room for development.PARDE belongs to a typical labor-intensive manufacturing company, as its mainanalysis, corporate strategy through the analysis stage, the way of operation, shouldbe made from the traditional focus on lean manufacturing, operational cost savingsprofitable way to service-oriented manufacturing method, and enhance the company’svalue-added products, build brand image, to make it more competitive. To China’smanufacturing industry, strategic PARDE’s transformation also has an importantreference for the strategic transformation of other companies.