Research On The Development Strategy Of Foxconn Company

With the rapid development of the world’s economy,China’s economy is undergoing structural adjustment and transformation.Strong manufacturing industry has a significant impact on infrastructure,employment and GDP per capita,which is also the future road of economic prosperity and development.In 2015,Chinese leaders pointed out that today’s information industry leads the world’s economic development.In this new era,innovation of science and technology is motive force to development of human society.Putting forward the "Internet plus" is a new forms of internet’s evolution and development under the future of the knowledge society and information technology.Foxconn as one member of the manufacturing industry,already has made some achievement on science and technology manufacturing industry by the main operating mode or design mode for large original equipment manufacturers.The main feature is the low cost and scale economy.With industrial division and economic structure update by the influence of globalization,Foxconn needs to rethink the new strategy and business model to adapt to the future development.By China’s development and domestic industrial restructuring,Foxconn enhances and adjust itself to meet the challenges of transformation.In order to faster and better Foxconn’s strategic transformation,Foxconn must control the expansion,improve the level of quality,and seize the strategic opportunityThis paper first summarizes the existing problems of Foxconn’s strategy.Then we can get a new strategy for Foxconn’s long-term development,by basing on the overall analysis of the reality of the environment.The paper is on the guidance of strategic management model of Fred David,I analyzed by five forces model,external factors evaluation matrix(EFE),internal factor evaluation matrix(IFE),the internal and external environment.Then strategically analyzed and selected by SWOT matrix and the quantitative strategic planning matrix(QSPM).Finally the Foxconn’s overall development of intelligent manufacturing strategy was put forwarded.The strategic is oriented by market’s requirement and customer-centric.The data information drives the link of the whole operation of the business activities,which makes each step choose the most intelligent choice operation way,in order to achieve optimal results and maximize the value of each link.This strategy is mainly made up of below three aspects:(1)Low cost of intelligent manufacturing development strategy,which relies on scientific and technological change to improve the efficiency of manufacturing,product quality and services quality.Finally the competitive advantage can be seized.(2)Business diversification strategy,the company strives to develop finance,transportation,logistics,retail,biotechnology,health care,life and other services.(3)The integration strategy for the bilateral value of the industry chain.Increase the value of the buyer,and create new demand,then extend the value chain.By the integration of upstream and downstream,customers can be provided with one-stop package service,including production,sales and customer service.After the establishment of the company’s development strategy,this paper introduces the implementation specific measures and related safeguards.This paper not only can provide guidance and advice for the survival and development of Foxconn,but also a reference for the promotion and transformation of other domestic electronics manufacturing services enterprises.