Strategy management is the process of company decision maker, according to the company’s internal and external environment, make and implement the plan. It includes understanding the strategic position of an organization, making strategy choices for the future, and managing strategy in action. It covers process of start and development of business
Recognizing strategy management’s position and role, it may help decision maker to extricate from the routine operation problems and identify the main problem about the survival of company in time. Manager benefits from strategy management in future development and vast market competition and gains more improvement.
During about one month study, I do know the strategy management plays an important role in company management. I begin to concern about our Chinese local industry. I would try to find out the way how Chinese manufactory can compete with global companies, such as 3M and GE. As we know, Chinese competiveness is low labor cost and acceptable quality. But with population shrink in the coming years, the age that can work decrease quickly. More, the inflation enhances the labor price to a high level. This core competiveness may disappear quickly. More companies try to find out different module to solve this problem. There are two ways they can go.
First, it is Hong Kong model that move the manufactory to the lower labor cost place. In 1990s, Hong Kong moved their factory to main land and left the company to serve and manage the brand. In China, it means we can move our company to abroad, such as to Vietnam and Malaysia. The labor cost there is very low. From the recent news, we know that Adidas’ largest and unique manufactory in China closed and moved to Indonesia. The news also raised the concern about the Chinese population profit disappearing. We also know that the advanced manufactory positions return to