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The Study on the Readjustments of the Diversifie d Management Strategy of the Forest Industry Ente Rprise in Yichun’s State-owned Forest Region

Author: TianZe
Tutor: YangChangFeng
School: Northeast Forestry University
Course: Business management
Keywords: State-owned forest area Diversification Logging enterprises Strategicmanagement
CLC: F326.25
Type: Master's thesis
Year: 2013
Downloads: 2
Quote: 0
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The new economic era that we are experiencing has many characteristics, such as economic globalization, knowledge-based resource, information networking, people-oriented management and so on. In such background, the Chinese enterprises have being stuck into a competitive environment, of which the competitive pressure is not only from the domestic market, but more from the global competition between different enterprises. Right business strategy carried by enterprise creating a lasting competitive advantage is an important factor of success or failure of enterprise management. In order to seek new business idea, many enterprises choose the diversification strategy to avoid the loss of benefit from business shrinking and the lack of resources. Diversification strategy is an important strategic choice in the process of enterprise development, and is of great significance to enterprise growth, but also brings risk to the enterprise operation and management. Tracking and control must be conducted in the process of implementation.Yichun state-owned forest region forest industry enterprises suffer from monoculture to diversification along the way through the historical period of resource-rich, resource-poor and social instability. In the implementation of diversification strategy, it focuses on related diversification and non-related diversification and involves the business of the timber and berries machining, forest tourism, farming, mining, forestry pharmacy, fungus and wild vegetable business. In recent years, Yichun state-owned forest industry enterprises develop fast and carry out many projects. This kind of situation is not conducive to the control of diversified management, which leads to hard management, small size, weak competitiveness and so on. By knowing implementation status of Yichun state-owned forest industry enterprises diversified management strategy, this paper summarizes the history and current situation of implementing diversified management strategy. It uses SWOT analysis tools to carry on the analysis of Yichun state-owned forest industry enterprises’ inside and outside environment, and raises its diversity issues that exist in the process. It proposes the tool-Boston matrix that can be used for planning the operations of forest industry enterprises in Yichun state-owned forest region, and takes of Yichun state-owned forest region forest industry enterprise-Tieli Bureau as an example, putting forward diversified business development order. With the diversified business strategy adjustment principles, objectives, guiding ideology put forward, it adjusts Yichun state-owned forest region forest industry enterprises’diversified structure, distinguishes between major and minor operations and makes relevant business ideas. The adjustments of strategic thinking such as taking a different route, the implementation of brand strategy, and emphasis on cultural construction are in favor of solving many problems in the process of diversification and enhancing Yichun state-owned forest region forest industry enterprises competitiveness. Based on the development environment and advantages and disadvantages of forest industry enterprises, it puts forward some safeguard measures for diversification strategy. The whole research process makes full use of a large number of enterprise management, strategic management, theoretical knowledge and methods, and makes the reasonable management of diversification become a reality by optimizing the business combination. This article is mainly based on the reality of state-owned forest region in Yichun forest industries, and has strong practicality. It is not only of great realistic significance to the long-term development of Yichun state-owned forest region, but of great importance reference to the formulation and implementation of diversification strategy of other forest industries.

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CLC: > Economic > Agricultural economy > China 's agricultural economy > Agricultural sector economy > Forestry > Forestry business organization and management
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