2004Unpublished venueRequires access

An Analysis of China′s Retail Enterprises Border Expanding

Ping Wang

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Abstract

Based on the core competence, it is the basic trend that the retail enterprise grows up to expand the enterprise border around the core business. However, the achievement of retail enterprise cannot keep the same step with its business border, which expands in such a high speed. It embodies that the retail company has the weak ability in making profit and the trend of core competence to be worse, and causes the enterprise relatively lower to expand ability;Enterprise′s achievement has relatively high relevant degree with management in pluralism, which contrasts sharply with the retail giants in foreign countries. Trace it to its cause, it is mainly that the retail business of our country stores the market structure in excessive competition, has not utilized effectively the raised fund to develop key business and core competitiveness, and lacks the perfect material flow of provide and deliver system etc. For this reason, the retail enterprises of our country should confirm the enterprise border because of ability, choose the proper expanding way, and strengthen the management of logistics and supply chain, and then can enhance the strength of the enterprise scope competitive advantage and core competitiveness.

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What this paper is about

Based on the core competence, it is the basic trend that the retail enterprise grows up to expand the enterprise border around the core business. However, the achievement of retail enterprise cannot keep the same step with its business border, which expands in such a high speed. It embodies that the retail company has the weak ability in making profit and the trend of core competence to be worse, and causes the enterprise relatively lower to expand ability;Enterprise′s achievement has relatively high relevant degree with management in pluralism, which contrasts sharply with the retail giants in foreign countries. Trace it to its cause, it is mainly that the retail business of our country stores the market structure in excessive competition, has not utilized effectively the raised fund to develop key business and core competitiveness, and lacks the perfect material flow of provide and deliver system etc. For this reason, the retail enterprises of our country should confirm the enterprise border because of ability, choose the proper expanding way, and strengthen the management of logistics and supply chain, and then can enhance the strength of the enterprise scope competitive advantage and core competitiveness.

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Available abstract

Based on the core competence, it is the basic trend that the retail enterprise grows up to expand the enterprise border around the core business. However, the achievement of retail enterprise cannot keep the same step with its business border, which expands in such a high speed. It embodies that the retail company has the weak ability in making profit and the trend of core competence to be worse, and causes the enterprise relatively lower to expand ability;Enterprise′s achievement has relatively high relevant degree with management in pluralism, which contrasts sharply with the retail giants in foreign countries. Trace it to its cause, it is mainly that the retail business of our country stores the market structure in excessive competition, has not utilized effectively the raised fund to develop key business and core competitiveness, and lacks the perfect material flow of provide and deliver system etc. For this reason, the retail enterprises of our country should confirm the enterprise border because of ability, choose the proper expanding way, and strengthen the management of logistics and supply chain, and then can enhance the strength of the enterprise scope competitive advantage and core competitiveness.

Key concepts: Business, Core competency, Industrial organization, China, Competitive advantage, Competence (human resources), Profit (economics), Commerce

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