Shenyang Coal Industry Group Co., Ltd. Cost Leading Strategy Research

Since 2013,coal prices continue to fall,the industry began a downward trend.Industry because of the excess capacity,use of natural gas,wind power,hydropower,nuclear power developing,"pv" project promotion,etc.,all have a great impact on the coal industry,the coal demand shrinking,cost competition,sales prices is inevitable.Losses for coal industry has become a common phenomenon,the coal enterprises can only face the reality,one thousand ways to find a way out,to explore a suitable development strategy.Shenyang industrial group co.,LTD is engaged in coal production,processing and sales of large state-owned enterprises,in the current situation,also is in a state of the operating losses.Group company will face a choice,that is to use what kind of strategic thinking and unified the staff's understanding,actively cope with the current unfavorable situation,in competition,loss-mitigation,insist on the survival and development,to meet the arrival of the light industry.Cost leadership strategy is the current situation,the company a good strategic choice,through strategic implementation,company can make full use of their own advantages,strengthen cost control,the production,processing,marketing and so on each link,minimize costs,become the cost leader in this area,are in a strong position in the competition;This article first cost leading theory are reviewed;Secondly introduces the shenyang coal group co.,LTD.The current business environment,product characteristics,and for the company to carry out the strategy of cost leadership conditions are analyzed;Third,analyze the strategic environment,using the PEST environment analysis method,analyzes the industry environment of company and industry competition situation,also the few competitors situation in the region is analyzed and compared with the company;Fourth,using the SWOT method to comprehensive analysis of the company,understand the company has the advantages and disadvantages,as well as the company's opportunities and threats facing,puts forward improving methods;Discusses the shen coal group,the necessity and feasibility of implementing cost leadership strategy;Fifth,from the perspective of the cost drivers,the analysis of the company is likely to have advantage factors,find out can breakthrough the driving factor;Finally,from the resources,capital operation,human resources,enterprise culture,the respect such as technology innovation,mechanism and system in order to achieve cost leadership strategy of security measures should be taken...