Research On Cost Control Of XHL Company Based On Value Chain Theory

Economic globalization has brought many new development opportunities for China's steel industry,but after the international financial crisis,trade barriers between countries continue to increase,caused huge impact to China's steel exports,lead to China's iron and steel industry is facing the problem such as high cost,overcapacity,increased the pressure of competition between iron and steel enterprises.At the same time,China has issued a series of policies,clear the goal of paying more attention to the quality of economic development,and put forward environmental protection,energy conservation and emission reduction requirements,which leads to higher and higher operating costs of iron and steel enterprises,enterprise survival has become more difficult.Therefore,cost control analysis is crucial to the sustainable operation and high-quality development of enterprises.Using the value chain theory to analyze the cost control from the strategic perspective of enterprises can help enterprises find out the key nodes of cost control more effectively and achieve the survival goal of high quality development of iron and steel enterprises.This paper uses the value chain and cost control theory,and takes XHL company as the research object to study the problems existing in the cost control of steel enterprises deeply and systematically.Firstly,according to the research results at home and abroad,the concept of value chain theory and cost control theory is summarized,and the characteristics and advantages of cost control method based on value chain theory are analyzed,which lays a theoretical foundation for this paper.Secondly,the current situation of XHL company's cost control is comprehensively analyzed.On the one hand,from the perspective of internal value chain,XHL Company's internal problems in each stage of operation are pointed out.On the other hand,from the perspective of external value chain,the external factors affecting enterprise production and operation are analyzed.Finally,improvement measures are put forward for the problems existing in each stage of the company,and scientific and reasonable suggestions are put forward for the long-term development of the company,so as to ensure the feasibility of XHL company adopting the value chain cost control method.