|dc.description.abstract||As China continues its rapid industrialization into the 21st century, the pneumatic industry in China steps into an era with internationalization and open market, offering more opportunities and challenges, as well as higher risks and returns.Entering the WTO,China had to adopt and open market policy.Thus, the players in the industrial automation market which had been in a static and closed market, are suddenly faced with enormous changes and new competitions.The new intense competition means that the enterprises in the pneumatic component market are entering a “natural selection” phase, resulting in a foreseeable “re-shuffling”of the market.
This study attempts to look into the Chinese pneumatic component market, analyzing the industry’s current status, characteristics and development trends.Based on these analyses, we aim to propose viable competitive strategies for a regional agent (Company A) of a major world-wide provider of pneumatic components. The foundations of our analysis are five forces analysis and SWOT analysis.Through the analyses, we hope to derive at a portfolio of competition strategies for Company A.
Through the SWOT analysis, company A’s current practices, internal resources and external environment, were examined. The opportunities were used as basis for creation of competitive advantages.We hope that the proposed strategies will accomplish the followings: (1) exploit the opportunities in the Chinese market; (2) set up attractive brand image; (3) establish good business reputation; (4) expediting reaction to customers demands.
Company A, which is the focus of this study, had achieved strong gains in revenue and market share.However, while severely constrained by the distribution system of its supplier, Company A also faces new challenges due to environmental changes mentioned earlier.How to retain its competitive advantages, how to adapt to the new changes, how to excel in the new environments, are the major objectives of our proposal.||en_US|