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A classic case of corporate strategy and risk
chapter 1: enterprise strategic planning

enterprise strategic management was initially formed in the late 196s. It is a long-term and overall plan or scheme made by enterprises in the face of fierce changes and severe challenges. It is the embodiment of enterprise management ideas and the vitality for enterprises to prosper. Enterprise strategy is overall, long-term, competitive, programmatic, dynamic, instructive, risky, innovative and relatively stable. It paints a blueprint for the business direction of the enterprise, so it must be forward-looking and must be used to guide the business operation of the enterprise, not an accessory to the business operation. As a kind of planning, strategy is very strategic, and its purpose is to win the sustainable advantage over competitors.

paper keywords: enterprise strategic planning; Original business; New business

Introduction: Enterprise strategic planning can be defined as an art and science about how to formulate, implement and evaluate enterprise strategies to ensure that enterprises can effectively achieve their own goals. It mainly studies the functions and responsibilities of the enterprise as a whole, the opportunities and risks it faces, and focuses on the leapfrogging involved in enterprise management such as marketing, technology and organization. Comprehensive decision-making in financial and other functional areas.

chapter 1 the origin of "enterprise", "strategy" and "enterprise strategy"

1.1 enterprise is a subject worth exploring

enterprise is a department engaged in economic activities such as production, transportation and trade, and its emergence has effectively promoted economic development and eased employment pressure. In today's financial crisis, enterprise is a subject worth exploring. Chester Barnard, an American management scientist, once said in his masterpiece "The Functions of Managers": "An enterprise is a comprehensive system composed of material, biological, personal and social factors". The concept of strategy was widely used in the field of enterprise management abroad in 1965, which was represented by the publication of Ansoff's main book, Enterprise Strategy.

The word "strategy" has existed for a long time. It originated from war and military activities. It is a theoretical summary of war practice and military activities, a plan and strategy to guide the overall situation of war, and it is also a good strategy to defeat the enemy. As early as the Spring and Autumn Period and the Three Kingdoms Period in our country, it became a model of military strategic system analysis in our history, and it has been used by all countries in the world so far.

1.2 Examples prove that

Comrade Mao Zedong's exposition of strategic meaning is more profound and quite philosophical. In the article "Strategic Issues of Revolutionary War in China" written by him at the end of 1963, he pointed out: "All military laws or military theories with principles are summaries of past war experiences made by predecessors or present people" and "As long as there is war, there is an overall situation of war. It is the task of strategics to study the guiding laws of war with overall situation. It is the task of strategy and Science of Tactics to study the law of local war guidance. "

enterprise strategy is a long-term and overall plan or scheme made by an enterprise to survive and develop in the face of fierce changes and severe challenges. It is the embodiment of enterprise management thinking, the result of a series of strategic decisions, and the basis for formulating medium-and long-term plans.

in the continuous development of human society, people gradually apply strategy to a wide range of fields, citing and applying it to the political activities of the political party and the government in a certain period, and making strategic plans such as strength deployment, countermeasures and measures to achieve the overall goal. In the field of economic activities, strategies are used to guide the development of the national economy or some major industries. People always think that enterprise strategy is decided by accident, or that it is the product of the belief and intuition of the top decision-maker. In theory, it often appears with the names of "entrepreneur activity", "enterprise policy" and "long-term plan" related to the content. In the late 195s, Ansoff, an American scholar, established his own theory of enterprise strategic planning in view of the situation that the scale of enterprises expanded and diversified, taking the determination of enterprise goals as the starting point of decision-making. In 1979, he launched another masterpiece, Strategic Management, which studied how to push strategic management from strategic plan, analyzed the corresponding relationship among environment, strategy and organization, and further developed the theory of strategic model. In 198s, strategic management developed greatly, and the theory of competitive strategy based on industrial structure analysis occupied a dominant position, thus forming the theory of core competitiveness based on resources and knowledge.

chapter ii the meaning and development history of enterprise strategic planning

2.1 meaning

according to the theory and the views of most people in the business community, enterprise strategy is a long-term and overall plan or scheme made by enterprises to survive and develop in the face of drastic changes and severe challenges. It is the embodiment of enterprise management thinking, the result of a series of strategic decisions and the basis for formulating medium and long-term plans. Strategic management is a process including strategy formulation (or planning) and strategy implementation, that is, a series of decisions and activities made by enterprises in formulating and implementing strategies, which consists of three main parts: strategic analysis, strategic selection and strategic draft.

2.2 development history

Enterprise strategic management was initially formed in the late 196s, and some scholars divided its formation process into four stages.

 2.21 ? 196s: The birth of strategic planning theory In the early 196s, Andrews Christensen and Ansoff laid the foundation of strategic planning. They focused on how to effectively match business opportunities with company resources, and discussed the role of strategic planning. From the 196s to the early 197s, planning thought occupied the core position of strategy.

 2.22 ? 7' s: The theory of environmental adaptation was popular. 7' s was the era of environmental adaptation. Strategists increasingly regard environmental uncertainty as an important part of strategic research. The fierce international competition and uncertainty make people pay more attention to how enterprises adapt to the environment, that is, assume various market environments, and thus design various countermeasures and measures to deal with these changes. During this period, management uncertainty has become the core competence of enterprises.

 2.23 ? 198s: Research on Industrial Organization Theory and General Strategy Harten and Cooper explored the relationship between strategy and business performance through the study of American brewing industry, especially explained the relationship between business performance and strategy and environment, and thought that performance was a function of strategy and environment. Porter introduced the theory of industrial organization into strategic research, focusing on the analysis of industry characteristics and emphasizing the influence of market forces on profitability. It seems that transaction cost theory, information economics and game theory have been introduced into strategic theory. In the late 198s, many scholars focused on the management of multinational enterprises.

 2.24 ? 199s: Resource-based theory and core competence theory became popular. In the late 198s, people increasingly realized that competition was unconventional, there was no general strategy, and there was no panacea. People could not explain the excellent performance of enterprises only by general strategy and enterprise characteristics, and then turned to look for the source of competitive advantage of enterprises. The more popular industrial theory in the 198s was re-examined by people, and even generally criticized. At the end of the 2th century, the concept of strategic innovation was deepened and widely adopted by people. With the advent of economic globalization, technological informationization and knowledge-based economy, a series of strategic innovations have emerged in business circles. That is, mass customization, virtual organization, refocusing, competition and cooperation, etc.

Chapter III Overview of Enterprise Strategy

3.1 Types and Elements

From the perspective of the ways and means adopted by enterprises to achieve strategic goals, the elements of enterprise strategy include business scope, resource allocation, competitive advantage and synergy.

enterprise strategy is generally divided into two categories: overall strategy and business strategy. The overall strategy of an enterprise considers what type of business the enterprise should choose to enter. Business strategy considers how an enterprise should compete or operate in this field once it has selected a certain type of business.

3.2 content, characteristics and functions

3.21 has drawn a blueprint for the business direction of the enterprise, so it must be forward-looking and must be used to guide the business operation of the enterprise, not an accessory to the business operation.

 3.22 ? As a kind of planning, strategy is very strategic, and its purpose is to win the sustainable advantage over competitors. Moreover, the strategy should also become a brand positioning strategy of Lingrui brand Tongluo Qutong Plaster, which is based on different business departments and functional departments of the enterprise. Henan Lingrui Pharmaceutical Co., Ltd. (hereinafter referred to as "Lingrui Pharmaceutical") was established in 1992 and listed on the Shanghai Stock Exchange in 2. It is the only listed company mainly engaged in patches (plasters) in China. In the domestic patch (plaster) market, Lingrui Pharmaceutical has formed a tripartite confrontation with Tianhe and Qizheng. At the same time, Lingrui Pharmaceutical is also the first winner of "China Famous Trademark" in the patch (plaster) industry.

In 26, from the outside, the development of Lingrui Pharmaceutical can be described as a smooth journey. But for the enterprise itself, it has just experienced the risk of product renaming and won in last stand.

The crisis is coming

Lingrui Pharmaceutical is facing the product name change of Bone Hyperplasia-Tieling. This variety is a "health care drug" approved by Henan Province (later changed to mechanical brand name). Since the 199s, the sales volume has been stable at around 7 million, with the peak reaching over 8 million yuan. This variety < P > has an extremely important position in Lingrui Pharmaceutical. On the one hand, it is a product started by enterprises, and at the same time, it is one of the products that make the greatest contribution to the profits of enterprises.

Lingrui Pharmaceutical has long realized that there may be policy risks in the identity of the medicine Jianzi, an elixir for hyperosteogeny.

And this variety has a definite curative effect and a good market base, so Lingrui Pharmaceutical applied for a new drug on the basis of hyperosteogeny-Tieling. On May 27th, 2, with the approval of National Medical Products Administration, the approved product was officially named Tongluo Qutong Ointment. In 21, Lingrui Pharmaceutical will launch a new product named Tongluo Qutong Plaster.

lingrui pharmaceutical co., ltd. is very aware of the risk of policy change in hyperosteogeny-tieling. therefore, how to quickly transfer the market safety of hyperosteogeny-tieling to Tongluo Qutong ointment has become the first problem to be solved by enterprises. For this reason, Lingrui Pharmaceutical has made a series of marketing efforts on Tongluo Qutong Ointment-hiring a famous marketing planning company in China, making a promotion plan, investing 4 million advertising fees in CCTV, and vigorously promoting "Bone hyperplasia, joint pain, rheumatic pain, please use Lingrui brand Tongluo Qutong Ointment", and giving preferential sales policies. But unexpectedly, Tongluo Qutong Plaster sold only 4 million in that year, while the sales volume of hyperosteogeny-tieling was still 7 million. Obviously, the market of hyperosteogeny-tieling has not been successfully transferred.

The fiasco of Tongluo Qutong Plaster has made the whole enterprise concerned about advertising investment. Since then, the enterprise has chosen the marketing mode of "big terminal and small advertisement", and established a sales team of nearly 1, people throughout the country, including 6 terminal promoters, hoping to promote the sales of Tongluo Qutong ointment, while advertising, especially mass media propaganda, has basically stopped. However, the enterprise's efforts have not been rewarded. The annual sales of Tongluo Qutong Plaster dropped to about 2 million yuan, and the huge terminal team spent a lot of energy on the management of the enterprise. However, the sales of Osteoproliferative Plaster continued to be stable at 7 million yuan without any marketing support.

when lingrui pharmaceutical failed to transfer the 7 million market of hyperosteogeny-tieling to Tongluo Qutong ointment by various methods, a new national policy was finally introduced. According to the new regulations, the production of hyperosteogeny paste must be stopped and withdrawn from the market in 26, which means that Lingrui brand Tongluo Qutong ointment can only be sold in the market in the future, and Lingrui Pharmaceutical will face huge losses. To this end, the decision-making layer of Lingrui Pharmaceutical has repeatedly weighed and considered, and finally decided to make a comprehensive adjustment of marketing strategy with the help of external brain power again. In November 25, after many investigations, Lingrui Pharmaceutical decided Chengmei Marketing Consulting Company (hereinafter referred to as Chengmei) as its strategic partner.

new positioning, regaining the market of "Tieling"

After preliminary analysis, the researchers of Chengmei think that in order to make the existing users of "Tieling" for hyperosteogeny buy Tongluo Qutong Plaster instead, it is necessary to first make clear who are the users who are buying "Tieling for hyperosteogeny" and what their needs are, and then see if Tongluo Qutong Plaster can meet these needs. This is the basis of whether the 7 million market can be transferred, so it is also the first step of research. ? Through terminal visits and interviews with sales promoters, the researchers learned that although Lingrui Pharmaceutical's past advertising campaign for hyperosteogeny-Tieling included hyperosteogeny, rheumatism and joint pain, its existing users were basically patients with hyperosteogeny. As the positioning master Mr. trout said, "Naming is an important part of the strategy", the product name of "Bone Hyperplasia-Tieling" naturally gives people the perception of treating bone hyperplasia, which leads consumers with rheumatism or joint pain to bypass, while some patients with bone hyperplasia become loyal customers.

The users of Tongluo Qutong Plaster are very scattered, because the product name of Tongluo Qutong Plaster does not clearly indicate the scope of application, while the advertising of enterprises includes hyperosteogeny, rheumatic pain and joint pain, covering almost all muscle and joint pain. In addition,

the task pressure of enterprises on the terminal, as long as someone buys the plaster, the promoters of Lingrui Pharmaceutical will strongly push Tongluo Qutong Plaster, so it can be said that those who buy Tongluo Qutong Plaster. According to the feedback from the front-line sales staff of Lingrui Pharmaceutical, this 2 million is not transferred from users with hyperosteogeny and Lingling, but mainly new users caught by powerful terminals. These users are very unstable, and the removal of terminal promoters may lead to the loss of the market.

With this information, it is not difficult to understand why the market of hyperosteogeny-Tieling could not be successfully transferred to Tongluo Qutong Plaster in the early stage. hyperosteogeny-Tieling is a plaster for treating hyperosteogeny, but Tongluo Qutong Plaster is no different from other analgesic plasters in the market. It is not as targeted as hyperosteogeny-Tieling, so it is naturally difficult to transfer. In the consumer's view, it is two completely different plasters.

after seeing these facts clearly in consumers' minds, we have made it clear that if we want to transfer 7 million yuan of hyperosteogeny plaster, we must make consumers feel that Tongluo Qutong Plaster is the original hyperosteogeny plaster or the plaster for treating hyperosteogeny, and it is just renamed. Although this will definitely abandon the existing 2 million scattered market of Tongluo Qutong Ointment, after in-depth communication with Lingrui Pharmaceutical, the researchers provided detailed and comprehensive research materials, and finally the company made up its mind and agreed to Chengmei's suggestion to abandon this 2 million market and pave the way for a new market.

In order to transfer the 7 million market of hyperosteogeny-Tieling, Lingrui Pharmaceutical was "forced" to focus on the "hyperosteogeny" market, but it still has doubts. Is it too limited to focus on the hyperosteogeny market? After all, the sales volume of osteoproliferation Tieling has been unable to break through the bottleneck in the past ten years. If the market is too small and the above-mentioned 2 million market is abandoned for this reason, the result is unimaginable.