The Research On Development Strategy Of Changsha Exploration Machinery Factory

In recent years,the traditional geological survey market,propped up by exploring mines and other natural resources,has been shrinking through all these years,under the influence of the slowing down of domestic economy with the economic cyclical downturn and the energy price slash all over the world.Thus,the demand for the mechanical equipment closely related to this industry has showed a steep drop.At present,the domestic equipment manufacture industry for geological survey has been facing two big troubles—the production capacity surplus and increasingly intensified competition with more new players coming into the game for the market.Considering the new economic situation,it is a matter of great urgency to research and explore an suitable development strategy for Changsha Exploration Machinery Factory(CEMF)when facing economic falling and development stagnation.Some analysis methods have been applied such as the literature search,the case study,the diagnoses and the comparative analysis to analyze and demonstrate the development strategies for Changsha Exploration Machinery Factory,following the logic of the strategic analysis,the strategy design and choice,and the strategy implementation and control,according to some relative theories about enterprise strategic management at home and abroad.Through the analysis of its macroenvironment,industry environment,interior resource and its enterprise ability,chances and threats from the external with strengths and weaknesses from the internal will come into view.By SWOT matrix analysis and strategic choices,the sustainable development strategy will be decided,which constitutes the strategy of conducting intensity at first,diversification in due time,globalization as a whole.Three steps have been brought out to make sure the strategy implementation.Safeguards in six aspects have been drawn up including the mixed ownership reform,organizational structure transformation,human resources rebuilding,financial management perfection,marketing management strengthening and technological innovation.The research of development strategy is of great significance not only to provide some information in the strategic decision of Changsha Exploration Machinery Factory to meet competition and promote its management and profitability for its sustainable development,but also to be referential for other state-owned equipment manufacturing enterprises.