Research On The Competition Strategy Of Shandong Re-guarantee Group Co., Ltd.

Enterprise As a legal system to protect the creditor’s rights, guarantee is one of the indispensable basic systems in the market economy. With the establishment of China’s reform and opening up policy and market economy system, small and medium enterprises realized the rapid development, financing difficulties become the most prominent, the most common problem, credit guarantee appears to satisfy small and medium enterprise development needs, is effective measures to solve the financing difficulties of small and medium enterprises. Shandong Re-guarantee Group Co., Ltd. earliest established in September 2009, in order to deal with the international financial crisis, Shandong provincial Party committee, the provincial government established the professional re-guarantee institutions to effectively alleviate the financing difficulties of small and medium enterprises, support small and micro enterprises development, and promote the province’s economic and social development. The main products currently provided by the company include:general guarantee and joint liability guarantee, guarantee, joint guarantee and system guarantee business; the regular security business, such as liquidity loan guarantees, and project loans, financial leasing, entrusted loans and other innovative security services, etc. The competition strategy is the plan and action unit of concrete strategic business unit under the control of the overall strategy of the enterprise. Along with the economic growth downward pressure and industrial structure adjustment, small and medium-sized enterprise management difficulties increases, some small and medium-sized enterprise lack profitability repayment ability, which makes the small and medium-sized enterprise loan guarantee industry business sharp atrophy, compensatory growth and profitability significantly decreased, guarantee business development dilemma bring a greater challenge for Shandong Re-guarantee Group Co., Ltd.Under this background, this paper studies the selection and implementation of the Shandong Re-guarantee Group Co., Ltd.’s competitive strategy. Firstly, the paper analyzes and evaluates the business environment, and concludes that the opportunities in the external environment (1) policy supports are increasing; (2) the demand continues to grow; (3) industry integration brings further development; (4) the industry barriers are relatively high; (5) technological environment is superior. The main threats are:(1) the regulatory environment is relatively lagging behind; (2) the financing channel is not smooth; (3) the absence of risk compensation mechanism; (4) the risk of bank cooperation is not equal; (5) the product of a single homogeneous competition is intensified. Compared with the same industry, the advantages include:(1) external relations resources is superior; (2) regional advantages; (3) stable executives and business teams and a wealth of industry experience; (4) good brand; (5) good risk control. The disadvantages are:(1) the structure of the organization needs to be optimized; (2) the construction of culture needs to be improved; (3) the lack of professional talents; (4) the product diversity is insufficient; (5) the operation time of some products is longer. And through the external factor evaluation matrix of the external environment for the comprehensive quantitative evaluation, the score is 3.059 points, the internal factor evaluation matrix score is 2.923 points, it means that external environment opportunity Shandong Re-guarantee Group Co., Ltd. is greater than the threat; the internal advantages outweigh the disadvantages. Then, based on the QSPM matrix, this article makes a quantitative evaluation on the choice of corporate competitive strategy, and shows that Shandong Re-guarantee Group Co., Ltd. should adopt the differentiate competitive strategy, and propose the initiative marketing to realize the differentiation of product structure, strengthen innovation in order to realize the differentiation of enterprise image and enhance the ability to realize the differentiation of internal management. Finally, based on the actual situation of the company, we have proposed the safeguard measures for the implementation of differentiation competitive strategy:optimization of organizational structure, corporate culture, improve human resources, pay attention to financial management and strengthen risk control.Based on the theory of competitive strategy, this paper analyzes the external environment and internal conditions of Shandong Re-guarantee Group Co., Ltd. by means of scientific strategic analysis tool, which is conducive for the management of the company to understand the operating status and competitive trend. At the same time, through quantitative evaluation to select the competitive strategy of the company and the corresponding implementation approach is developed based on the actual situation of the company, which is beneficial to enhancing the competition ability of Shandong Re-guarantee Group Co., Ltd. in dynamic environment.