Development Strategy Selection Of The Real Estate Enterprises In China

Enterprise cannot grow without strategy. The debate about diversification strategy and specialization strategy which is more suitable for Chinese enterprises has always been a hot issue. Our real estate companies need to adopt a suitable strategy to face an increasingly competitive market. It is worth exploring.We select the case of Vanke’s specialization strategy transformation as the research object. Firstly, we introduce Vanke’s strategy transforming from diversification strategy to specialization strategy and deepening specialization strategy. Vanke began specialization strategy adjustment in 1994, focusing on the residential projects for ordinary city white-collar in Shenzhen and so on. In 2002 Vanke deepening specialization strategy and implement regional expansion strategy, market segmentation and Green Strategy. Secondly, we anal yze external reasons why Vanke’s specialization strategy success from the macro environment and the real estate industry point of view. Thirdly, we discuss internal reasons why Vanke’s specialization strategy success from economies of scale and core competitiveness perspective.Vanke’s strategy development course provides a good reference for our other real estate enterprises. We can get a conclusion that given that the real estate market is still much room for development and the majority of real estate enterprises have not yet qualified to implement diversification strategy, our real estate enterprises in the highly competitive market are appropriate for specialization strategy, which is providing products and service to meet specific consumer demand and expanding market share to form their own core competitiveness in a professional market segments and become a professional leader.