Analysis Of Competition Pattern Of Chinese Security Enterprise In The International Market

With the threat of terrorism as well as occurrence of mass incidents in recent years,the international market has an increasing demand for security inspection and testing(hereinafter referred to as "security check")equipment products.After 20 years of development,our security companies are gradually participating in international market competition at this stage.Our security companies take two main competitive models,namely "price competition" and“differentiation advantage competition”.The enterprises that adopt price competition mainly rely on China's labor cost dividend and government export-oriented encouragement to suppress manufacturing cost and gross profit space,thus controlling sales price of security inspection equipment and thereby obtaining a larger market share.However,price competition has the risk of lower product quality and service quality due to vicious competition.There is also policy risks due to adjustment of domestic export policy and uncertainty of the target country's national policy.Differentiation advantage competition can enable enterprises to give play to their advantages,seek differentiated comparative advantage in comparison with other enterprises in areas of product or service,thus obtaining customer recognition and occupying the market.However,differences can be quickly followed by enterprises in the industry,or there may be “differentiation for the sake of differentiation”,as a result of which,price of the product is substantially falsely higher than that of other similar products.Thus,customers choose other products.From the analysis of the existing competition models of security companies,it can be seen that whichever model they choose will gain disadvantages of this mode strategy while facing its drawbacks.For China's security companies,although the advantage and disadvantages of the two sides can not be avoided,enterprise development strategy can be improved to play up strengths and avoid weaknesses.For instance,enterprises can do from themselves and seek improvement in product,sales channels,brand marketing,talent pool and training,etc..To enhance international competitiveness,seek development and improve profits,China's security enterprises should provide guaranteed product quality performance,and make constant technological innovation;product sales channels must be suitable for their own characteristics with a definite object in view;in the sales process,they should continue to strengthen brand awareness,achieve good advertising effects and economic benefits with brand effect;moreover,they should pay attention to professional and complex talents,emphasize personnel training so that “talents feed back to colleges and universities after soil transplant”.