Research On Related Diversification Strategy By HT Heating Company (Case Study)

Diversification strategy is an important supporting strategy for the development and growth of enterprises,which plays an important role in promoting the growth of enterprises.With the rapid development of China's economy and the improvement of the system,more and more enterprises begin to transform from a single business model to a diversified one.With the improvement of people's living standard,higher requirements are put forward for the comfort degree of living environment.The public utilities such as central heating are the important guarantee to meet people's needs.HT thermal power company is a listed A-share heating enterprise headquartered in Beijing,with advanced technology,efficient management and high market share.However,HT thermal power company encountered the problems of slow market growth and low profit in the development process.Based on the analysis of internal and external environment,PEST analysis,Porter's five forces analysis,SWOT analysis and other models,this paper suggests that HT thermal power company should implement relevant diversification strategies at this stage;and through the analysis of strategic motivation of HT thermal power company,the diversification strategies of HT thermal power company should be planned from the selection,acquisition and integration of diversified businesses,and it is suggested that In the process of implementation,M & a strategy,innovation strategy and alliance strategy are adopted as the support of diversification strategy;in order to ensure the implementation of HT thermal power company's diversification strategy,the author puts forward safeguard measures from three aspects: organization optimization,financial integration and corporate culture.Based on the theory of diversification strategy,combining theory with practice,this paper studies the development direction of the heating industry with HT heating Company as the template,and provides the feasible scheme for the relevant enterprises of the heating industry in the implementation of diversification strategy.