Research On Diversified Operation Of Yuyao Xinhua Bookstore

Yuyao Xinhua Bookstore,as the main channel for book issuing,has owned a lot of obvious advantages in renting cost,capital and policy.But in the face of fierce competition in book market,In order to better survive the long-term development,Yuyao Xinhua Bookstore must change management mode and mode of development,and diversification has become a new way and an important means in transformation.Based on-the-spot investigation,This paper conducts case studies of Yuyao Xinhua Bookstore in the diversified business development status,probes the background and causes in diversified development,and puts forward the measures and suggestions.Recently,Yuyao Xinhua Bookstore has appeared a number of troubles: with the development of internet,Buying books on-line and electric reading is a great challenge and pressure to Yuyao Xinhua Bookstore.And fierce competition of Private Bookstores is an another great challenge towards the bookstore which directly results the declining in its operating profit.In order to better survive the competition and gain a great development,spurred on by the synergistic effect,decentralization of risk,and the integration of surplus resources,Yuyao Xinhua Bookstore turns its business way to diversification strategy: concentric diversification,vertical diversification,level diversification and comprehensive diversification.After several years' development,Yuyao Xinhua bookstore achieves some good results,especially in the field of terminal services for schools?English contests?smartwatches?readers activities etc..To sum up,I draw the conclusion that the diversified development of Yuyao Xinhua Bookstore should be customer-oriented and improve the main business as well.For example,constructing Library procurement platform---Yuntai Buy?WeChat public platform--Micro Book City.On the premise of strengthening book industry,Diversified development is the inevitable choice for Yuyao Xinhua Bookstore at the present stage.In the last part,the article analyzes the five major risks,such as financial risks,decision risks,management risks,industry entry and exit risks,resource integration risks and suggests making risk assessments in diversified operation.