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Core Competence Studies

With the economic globalization, it is imperative for Chinese enterprises to vigorously develop their own core competencies in order to survive amongst the fierce competition of multinational corporations and the ability to withstand and absorb international economic risks.  The question of how to establish these core competences is an important and urgent issue faced by many Chinese enterprises.

We believe that the competitiveness of the enterprise is a complicated system composed of multiple elements; it is cultivated and then consolidated with foundation on market demand and effective integration of resources, its long-standing competitiveness supported by its comparative advantage and sustainable systematic capabilities distinguished from those of its competitors. It involves management, products, technologies, capabilities, culture and other aspects. Due to the environmental and cultural differences, the core competitiveness of each enterprise may differ.

Enterprise's Core competence consists of the following characteristics: valuable, unique, inimitable, and irreplaceable. The resources that companies possess and the ability to leverage these resources should be valuable and rare. On one hand, resources without value does not constitute a competitive edge; on the other hand, resource scarcity will lead to shortage of resources, thus possession of such scarce resources lay great foundation for companies to establish their own core competence.

Besides, the use of scarce resources and the capacity to leverage these resources must be difficult for competitors to imitate or duplicate, meanwhile, competitors cannot have alternative resources or alternative application ability. Only in this way, the enterprise is guaranteed to enjoy absolute exclusive rights on resources and resource applications.

Our Core Competence Analysis is mainly based on the following parts:

Human resources
Technology exploration and innovation
Business management
Corporate culture
Marketing strategy and promotions
The competitiveness of front office
Product quality
After-sales service