The Research Of Catering Group A's Concentric Diversification Strategy

Catering is one of the most important parts of the tertiary industry in China. The development of catering can be used to measure the standard and quality of life. This thesis analyzed the development of catering group A, which made the high-end catering as the main business. The main development problems o f group A are: the single format made the high risk, when the market and policy changed; how to realize the rapid expansion of group A; how to choose the new regions and new format and so on.The thesis analyzed the external catering environment and internal capability analysis, used the Five Forces model to analyze the competition environment and used PE model to select the new area and formats. Based on the company's main value chain, the author summarized group A's strength, weakness, opportunity and threat. “To create the most excellent catering company” is the target of group A. According to the group's development status and the future aspiration, the concentric diversification strategy was provided, as “multiple formats, multiple business mode, multi- capital operation, multi-brand development”.In order to make sure the success of strategy, a series of measures must be taken: to improve the company structure and the responsibility of different position; to increase the level of standardization; to promote the business according to different format; to strengthen the financing; to improve the company culture and so on.