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Zhongyi International Tendering Company Development Strategy

Author: QiHui
Tutor: LuChangAn
School: Capital University of Economics
Course: Business Administration
Keywords: INSTRIMPEX International Tendering Company Development strategy Strategic Transformation Competitive strategy Blue Ocean Strategy
CLC: F284
Type: Master's thesis
Year: 2011
Downloads: 36
Quote: 0
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Abstract


INSTRIMPEX International Tendering Company, founded in 1993, a wholly owned subsidiary of China General Technology (Group) Holding Co. Ltd., is the first of professional agents approved by the State to carry out the tender bidding business. Since its inception, it engaged in the international bidding and procurement agency business financed by the World Bank, Asian Development Bank, other international financial organizations and foreign governments, which business covers roads, railways, airports, water conservancy, electric power, urban infrastructure construction and other central and local key construction projects. It has made important contributions to China’s reform and opening up and economic development.With the constant deepening of China’s reform and opening up and deepening of the market economy, the state deregulated the bidding agency market gradually, lowered the threshold for the market access, which leads to a large number of tender agents, including state-owned and private companies, proliferated, and competition increased. The company’s traditional strengths in the market and the core competitiveness began to weaken. Especially in recent years, the industry showed a small expansion of low-level situation, severe price competition, which not only led to the company’s shrinking market share, but also a serious threat to corporate profitability and survival. Facing of the deteriorating external environment, the company has taken the strategic transformation as its primary task, in order to achieve further integration of advantageous resources to enhance their core competitiveness.Firstly, this thesis uses Michael Porter’s Competitive Strategy Theory and SWOT Analysis Framework to comprehensively analyze the bidding and purchasing agent market in China, and to evaluate INSTRIMPEX International Tendering Company’s core competitiveness. Then it will expound the necessity for strategic transformation.Not only that, the thesis redefines the industry of INSTRIMPEX International Tendering Company from a customer perspective, which quite different from the normal conception, to show a broader world market. On this basis, the thesis draws theoretical research results of Blue Ocean Strategy, and use strategic map analysis tool, to systematically analyze INSTRIMPEX International Tendering Company’s innovate strategic options. And then conclude the strategy of the transformation of INSTRIMPEX International Tendering Company to be a comprehensive service provider. It also points out the focus of development and market access path, and gives some analysis of the potential risk factors which may be involved.Finally, the thesis gives several proposals of improvement for the ideological changes, organizational security, personnel reserves, financing capacity, project management and risk control skills, and other aspects of the company.

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CLC: > Economic > Economic planning and management > Infrastructure the economy > Organization and management of infrastructure
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