| dc.description.abstract | Abstract
Small and medium-sized enterprises (SMEs) always plays an important role in developing countries, but SMEs in the startup stage, due to unstable business and operation, are very easy to fail when facing a variety of challenges. Due to the low entry barriers, a growing number of small and medium-sized fixture companies have appeared in recent years, making the industry very competitive and challenging.
This study chooses Company M, which fits the demand for in-depth discussion, to examine the business strategies of the company in past 5 years and analyze the success factors of this small and medium-sized company, and provide the future business strategies to the company.
This study finds that the development of SMEs is often limited by region and by product, resulting strong seasonal fluctuations in capacity utilization and hence making how to improve the capacity utilization critical. Consequently, expanding the product lines and enhancing the added values for the clients are the key successful strategies for Company M. The general manager of the company has also utilized and taken the advantage of his longtime experience in the system assembly industry by developing more suitable products for customers, providing more added values to customers, and vertically integrating raw materials and accessories production. All these strategies have reduced the company′s operating costs, while expanding product line to improve the capacity utilization rate and providing more added value service to customers, and successfully attracted many new customers and grown stably.
Besides, through the research discovery, the case company will face the barriers of capacity expansion and gross margin growth. Company M needs to develop other high margin products to extend its growth trajectory and prolong the business life. The results of the research are to provide a reference for the startups in the similar industries.
Key words: Small and medium-sized company, fixture, strategy matrix | en_US |