ABSTRACT
As a one of special manufacturing industries, the Kitchen Appliance industry is
closely bound up to our daily life. Influenced by traditional ideology and life mode, our
Kitchen Appliance industry experienced a long developing process. Currently, new
generation has becoming the major consumer group in this market. Moreover, the
market trend of the field of Kitchen Appliance industry increase quickly accompanied
by China’s rapid development of economic, meanwhile the domestic market demand
goes up dramatically, which contains huge market opportunities.
In this paper, we choose a typical company – QF Company, as a sample to
analyze its development strategy in the context of transition by combing the theoretical
analysis and case study. Firstly, we study its current states by using the analysis tool of
PEST, figuring out the future of Kitchen Appliance industry.Secondly, this paper
discusses the internal environment of QF Company from the perspective of
organizational structure, human resource management and marketing channel, and then
presents the opportunity and challenge it will meet.
Moreover, after using ADL matrix to discuss both the industry life cycle and firm’s
market competition power, we find that the Kitchen Appliance industry is in its growth
period and QF Company has gain its advantage in the market. This paper proposes that
the focused differentiation strategy should be adopted in the follow-up development. A
comprehensive decoration resources integration platform is needed to build to achieve
the goal of vertical integration. Finally, we suggest QF Company should improve its
organization structure, HR management, technology management and marketing
channel to match with its strategy, and then provide strong backing for its long-term
development and obtaining sustainable competitive advantage.
Keywords: the Kitchen Appliance industry, ADL Matrix, development strategy, focused
differentiation, vertical integration