A Study On The Cost Leadership Strategy Of The Zhejiang Guohua Zheneng Power Plant

The electric power had been invented and used since 1870 s.It has become an indispensable part of the human society.Electric power industry is a pillar industry in the national economy and it plays a very important role in promoting national economic and social development.With the adjustment of structure and function of energy industry in China's economic transition period,the development of thermal power enterprises facing both opportunities and challenges.The power plants which have single function,low parameter,small volume and high pollution will gradually be replaced by the green power plants which have high parameters,large capacity and multiple functions.At the same time with the development of power technology,the traditional thermal power plants will have a great impact while facing the challenges of solar energy,wind energy,hydropower as the representative of renewable resources and nuclear power plants.The paper takes Zhejiang Guohua Zheneng Power Plant as the research object.The paper studied the implementation situation of the Zhejiang Guohua Zheneng Power Plant's cost leadership strategy through the analysis of the internal and external environment,value chain and cost control.By using the cost leadership strategy Zhejiang Guohua Zheneng Power Plant control the operating costs and enhance the management efficiency in the internal in order to obtain higher profits;to explore the development of new channels for profit in the external and than the enterprises achieved remarkable results in the recession of the electricity market.It can be used for reference by other enterprises.