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| Midea Globalization Challenge for a Leading Chinese Home Appliance Manufacturer Contents Abstract ……………………………………………………………………………………………………………………………………1 1.Introduction …………………………………………………………………………………………………………………………1 2.Analysis of external macro environment by PEST model ………………………………………………2 2.1 Political Factors ……………………………………………………………………………………………………………2 2.2 Economic Factors…………………………………………………………………………………………………………2 2.3 Social Factors ………………………………………………………………………………………………………………2 2.4 Technologic Factors ……………………………………………………………………………………………………3 3.Analysis of external micro environment by five forces model ………………………………………3 3.1 Bargaining Power of Suppliers……………………………………………………………………………………3 3.2 Bargaining Power of Buyers ………………………………………………………………………………………4 3.3 Threats of New Entrants ……………………………………………………………………………………………4 3.4 Competitive Rivalry ……………………………………………………………………………………………………5 3.5 Threats of Substitutes …………………………………………………………………………………………………5 4.SWOT Analysis of Midea……………………………………………………………………………………………………6 4.1 Strengths………………………………………………………………………………………………………………………6 4.2 Weaknesses …………………………………………………………………………………………………………………6 4.3 Opportunities ………………………………………………………………………………………………………………7 4.4 Threats …………………………………………………………………………………………………………………………7 5.Strategic recommendation…………………………………………………………………………………………………8 References………………………………………………………………………………………………………………………………8 Midea Globalization Challenge for a Leading Chinese Home Appliance Manufacturer Abstract As China is going to entry into the World Trade Organization, Midea,the Chinese home appliance manufacturer, will have to face strong foreign rivals that enter into the Chinese market. In order to defend its market share,Midea needs to establish a strategy to compete with multinational enterprises. Taking the home appliance industry and Midea as the core,this paper analyzes the macro environment,micro environment and Midea's own situation through PEST analysis, Porter's five forces model and SWOT analysis, and puts forward suggestions for Midea. KEYWORDS: The home appliance industry, Midea, Chinese market. |
