Research On The Competition Strategy Of Tsumura & CO.

TSUMURA & CO.is the leading enterprise in Kampo industry.Because of the great changes in the operating environment of Kampo,the management of Kampo industry has been strengthened and the market competition has intensified.Since 2015,the company's operating profit has continued to decline and net profit volume has fallen sharply.Therefore,it is urgent to redefine the strategic objectives of the enterprise and adopt effective strategies to ensure the realization of strategic objectives.This paper focuses on the problems related to TSUMURA & CO.'s development strategy.Firstly,the competition environment of enterprises is analyzed by using PEST model to identify the influence of political,economic,social and technical factors.The change of external environment will provide a good opportunity for the development of Kampo industry,but it will also aggravate the competition of the industry.In the external environment,the Kampo industry is increasingly competitive.Although TSUMURA & Co.is in a strong position in Japan,TSUMURA & CO.,which is facing environmental changes,is a threat to enterprise development that is more than an opportunity.In the internal condition analysis of TSUMURA & CO.,the competition situation was analyzed by porter's five forces model.The conclusion is that the enterprise has formed its core competitiveness,which is mainly reflected in the three aspects: raw material resource layout,traditional Chinese medicine cultivation technology and production quality management level.These core competencies are adapted to the characteristics of industry competition.This paper puts forward the development strategy of TSUMURA & CO.To improve the core competitiveness: to focus on the market,to improve economic efficiency,and to transform from regional Kampo enterprises to national Kampo enterprises by relying on scientific and technological innovation and institutional innovation.It is based on the strategy of TSUMURA &CO to develop a strategy to develop the core competitiveness,to increase brand awareness,to take advantage of differentiation,to participate in international competitions,to go international.The analysis of the development strategy of TSUMURA & CO,which has a certain level of specificity,realistic and operable,has a certain positive effect on the future of production.At the same time,its conclusions and results can be used as a reference for Chinese traditional Chinese medicine enterprises to seek to save,expand the market and expand their economic growth space.