Research In Competitive Strategy Options For China Magnet Wires Enterprises

Choosing proper competitive strategy is crucial to enterprises’ development.On one hand,with the external environment varying,companies have to select proper competitive strategy to obtain the chance of survival and development because of market competition becoming more intensive and competitive pressure increasing;on the other hand,only if most of enterprises select the appropriate competitive strategy can they make themselves invincible in the competition,which would make the rational allocation of resources in the firm.For the usage of "magnetic energy transformation",magnet wire is widely used in electric power and electrical fields.Considering the supporting policy from government,magnet wire should not be belonging to a scope of sunset industry,but it is with serious market differentiation between high level and low level products.Moreover,there are a lot of enterprises in this magnet wire industry,and per incomplete statistics,there are about 2000 magnet enterprises at present.Competition shows the characteristics of no order and no baseline,and competition intensity is high,what’s more,we still can say that the competition is tragic.As a result,most of companies are operating with low-profit,tiny-profit or even just a cost-guaranteed operation.All they are facing a question: what’s their proper competition strategy?The purpose of this thesis is to advise the corresponding competitive strategy options after studying the competitive environment of magnet wire industry with detailed description and analysis;on the other hand,this thesis will divide current magnet wire enterprises into four types and apply present strategic theories and models at home and abroad to the magnet wire industry,such as PEST,Porter "Five Forces" model,the core competence theory and SWOT analysis model.Considering the external opportunities and threats,this thesis will propose four categories of strategic recommendations for corresponding companies on the basis of their own internal strengths and weaknesses.What’s more,the thesis also reminds all companies of dynamically adjusting strategy,trying to make concrete and practical results and practical significance.