The Research On Developing Strategy Of Gifore’s Construction Machinery Business

The rapid development and high growth of construction machinery industry is supported by the continuous high investment in infrastructure and real estate industry in the decade before 2011. But the two driving forces do not take effect any longer without the 4 trillion Yuan stimulus package and the large scale of infrastructure investment and fast development of real estate industry has been curbed effectively. Accordingly, the construction machinery industry develops from rapid growth stage to slow growth stage; entering a period of adjustment, during which enterprises at all levels in the industry chain might be reshuffled due to demand slowdown, overcapacity and intense competition. And only those survived enterprises could be given the new opportunities brought from the future urbanization and measures and policies for steady economic growth.Gifore Agricultural machinery Chain Co., ltd.(hereinafter referred to as Gifore) started distribution of construction machinery in 2010. With the understanding of Gifre’s own features and the industry trends, I would like to explore whether Gifore could seize the opportunity of industry adjustment to for further development and how to reform and cultivate its core competence on the basis of its own advantage, and to draft out the development strategy for Gifore’s construction machinery business.With the strategic management theory, SWOT matrix analysis and Five Force Model method, I would map out Gifore’s development strategy and make measures for the implementation of the strategy, on the basis of the analysis of Gifore’s internal resources and capabilities, advantages and disadvantages, and opportunities and threats, market demand and competition structure in the construction industry, and the exploration of the product planning, the target market segmenting, business model reforming, etc.