Tianjin Xinyue Industrial and Trade Co., Ltd.
Tianjin Xinyue Industrial and Trade Co., Ltd.
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How to gain a competitive advantage in the new steel era

Jul. 24, 2018

As far as the current development of the industry is concerned, through the integration and restructuring of internal resources, the regional “big Mac” enterprises will gradually increase in the global steel industry in the future, and then in this regional “big Mac” game and In the process of collision, on the basis of market selection, a large-scale steel enterprise across regions was gradually formed. The ultimate goal of this merger and reorganization between "big Mac companies" is to pursue absolute voice in the global market. This global super-large steel company will not be formed in the short term. But what is certain is that the competition between global steel companies in the future will no longer be limited to competition between enterprises and enterprises, but will be a positive collision between large groups and large groups. In order to gain a competitive advantage in such a large environment, steel companies must be prepared in two ways:


First, steel enterprises should promote the iterative upgrade of supply chain service support capabilities. With the era of the international steel industry entering the "big Mac enterprise" competition, it is difficult to help enterprises establish an absolute competitive advantage in the market simply by being competitive in the production chain. In order to remain competitive, steel companies must open up the various nodes of the industrial chain with a new supply chain model, and pursue the coordinated development of supply chain, logistics chain and market chain.


Second, steel enterprises should create a competitive soft power of enterprises through capital operation innovation and management reform. 

Enterprises must ensure capital operation capacity and management level at the same time. The former can guarantee the stability of enterprises in the process of expansion, while the latter can ensure that the management of enterprises will not be out of touch due to excessive expansion. At the same time, for steel companies that are not big enough, focusing on a certain market segment, understanding the pain points and needs of customers, and gaining a leading position in this market is also a good development model.


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