The Study On Competitive Strategy Of Trust Mutual Life Insurance Company

There are two forms of insurance organization: joint-stock system and mutual system.However,there is only one form of insurance organization in our country for a long time.The promulgation of the Trial Measures for Supervision of Mutual Insurance Organizations in 2015 clears up the development of mutual insurance in China.Three mutual insurance companies,such as Trust mutual,were established.As the first mutual life insurance organization in China,Trust Mutual makes up for the gap that there is no mutual life insurance organization in China.Trust Mutual was established in 2017.Although it has some achievements,it lacks clear competitive strategy and obvious competitive advantage.This paper uses strategic management,hoping to find a suitable competitive strategy for Trust Mutual.This paper uses PEST model to analyze the external environment of Trust Mutual,and then analyzes the internal environment of Trust Mutual,such as the initiating enterprise,product and service,business situation,human resources,brand.Based on SWOT model,it is found that the opportunities of Trust Mutual mainly include the development of Internet Finance and the insurance demand brought by aging;the Threats mainly include the competition brought by the opening of the insurance industry and the lack of mutual laws and regulations.The Strengths of Trust Mutual mainly include the strength of initiating enterprise and competitiveness of products and services;the weaknesses mainly include the limited scale of the company but lacking the focus on specific markets,the diversification of resources input and the unclear cognition of customers;the short establishment time,the low brand awareness and the limited operation area.Based on the Porter Five Forces Model and the general strategic analysis theory,Trust Mutual should choose the differentiation strategy.Trust Mutual can adopt the differentiation strategy in the five aspects of products,services,channels,personnel and brands.In order to ensure the implementation of the strategy,Trust Mutual also needs to develop safeguard measures.The existing research on mutual insurance organization focuses on mutual system theory or foreign mutual insurance organization,and there is little research on the operation and competitive strategy of domestic mutual organization.This paper fills this gap.