Research On Competitive Strategies Of Great Wall Motor Company

With the trend of economic globalization, automobile manufacturing industry has become an important symbol to measure comprehensive competitiveness of countries, many developed countries regard automobile manufacturing industry as domestic economic pillar. Since the reform and opening up, with the growth of Chinese economy and people's income level, Chinese automobile manufacturing industry has spurted. Automobile production and sales in China has reached 23,722,900 and 23,491,900. Although Chinese automobile industry has made great progress, compared to Europe, America, Japan and other developed countries, the gap is still large. In the nowadays, some other national car companies like Great Wall Motor Company are strong competitors for world-class car manufacturers.As a private car manufacturer established in 1984, Great Wall Motor Company is currently largest pickup truck and SUV(sports utility vehicle) manufacturer, also large-scale private enterprise listed in the A-share and H-share market. After three decades of development Great Wall Motor Company has made many remarkable achievements, faced the complex and volatile international economic situation, Chinese GDP increased by only 7.4%, with a slight decline compared with 2013, the slow growth of Chinese economy brings indirect pressure to automotive manufacturing industry. Faced auto market in the future, foreign auto giants will continue to bring forth the new through the old by creating a star model to win the Chinese market. At the same time, urban traffic congestion will result in “purchase limit” policy, the supply of traditional energy sources may fluctuate, rising automotive raw material prices and “three guarantees” policy will increase pressures of the Chinese automobile enterprises cost, which will lead to Chinese automotive market competition more intense. With the diversified growth of consumers' demands, major car manufacturers must change themselves to meet the needs of increasingly consumers' demands. Faced the complex market environment in order to be sustained competitor Great Wall Motor Company must re-position himself.Firstly, the paper describes the types of competitive strategies and related strategic analysis tools. Secondly, the paper analyzes the external environment by the means of PEST model, Porter's five forces competitive model and SCP paradigm. Thirdly, the paper introduces the development process of Great Wall Motor Company, internal resources and internal capacity. On the basis of re-positioning the market, Great Wall Motor Company should implement mixed competitive strategies in order to achieve sustainable development, namely, through a comprehensive quality management system, production technology improvement and supply chain optimization. Great Wall Motor Company implements the differentiation strategy through placing different models in different market segments and providing differentiated services. Great Wall Motor Company implements decentralization strategy by focusing on SUV business. Finally, the paper points out that when making strategic choices the key strategic implementation points should be paid attention: improve personnel training mechanism to attract high-quality employees; innovate based on cooperating with other enterprises; improve customer service while innovating marketing system; create positive enterprise culture to train the staff's initiative and creativity.