Analysis of Competitive Advantage

 Analysis of Competitive Benefits Essay

Research of Competitive Advantage on SMB Bunch

XU Jun School of Economics and Management, Henan Polytechnic UniversityJiaozuo, Henan, Cina, 454000, [email protected] com Fuzy The SMB occupies the prominent situation in the economy of the country, how to make15447 the SMB has become a significant lesson of your country. As a kind of incredibly valid method, the SMB cluster attained success in foreign practice; however , there may be success in the fulfillment of our country as well there is failure. In this article, the existing competitive good thing about our country's SMB bunch is examined, and some countermeasures on how to even more increase the competitive abilities of the SMB cluster are put forward. Key words SMB cluster, Competitive advantage, Region economy

you Introduction

Today, with the more and more globalization economic climate, the development of the SMB has turned into a global economical phenomenon. Since more than twenty years of change and opening up, the SMB in our country also has attained the rapid development. At the moment it has been playing an important function in China's economic and it is occupying the noticeable position. According to statistics, right at the end of 2001, China experienced 29. a few million SMB, which use 174 million people and also have capital of 6. sixty six trillion Yuan. From the variety, the number of the SMB accounts for 99. 9% of complete enterprises inside our country; coming from contribution, the final product plus the service value created by SMB are the cause of 50. five per cent of China's GDP, the employment solved by the SMB accounts for more than 75% of China's metropolitan employment, the item, the technology and the service exportation of them account for approximately 60% of China's total exports, the tax revenue they completed accounts for 43. 2% of China's total tax revenue income. Therefore , to pay attention to the SMB, support them, and promote the development of them is now an important task which our country encounters. Particularly the research and discussion of competitive benefits of the SMB cluster is incredibly urgent.

2 The Present Development Situation of SMB Bunch

The SMB cluster identifies the SMB which have the considerable amount and they are independence as well as related, focus distribution in the certain area through cooperation, are led by leading enterprises and followed by necessary enterprises, form spontaneous venture community, and form the fresh pattern which is " a single place, 1 product”, " one area, one industry” gradually. After that we can gather the elements of creation and launch scale effect by deriving, expanding and developing towards the district division which has a wider scope and a greater influence. It's 1 kind of " intermediate organization” which is involving the pure market organization as well as the pure level organization. The SMB, which in turn face the huge benefits of the household and overseas large groupings in technology, fund, size and brand, follow the bunch development method which alterations single alone to dependent on the competitive ability from the entire community, and work together to the marketplace. They no longer only stand firmly in the intense market competition, nevertheless also increase the strength of the district economy and absorb many rural workers. The feature of the SMB is even more prominent in Guangdong region especially the Zhujiang Delta. The (city) community economy makes up about half of the entire economy in Guangdong. The further advancement economy in Guangdong typically depends on the development of the SMB cluster's economic system. Enterprise clusters, which have apparent characteristics and great affect, have formed in Jiangsu province, including spinning industry and the THAT industry in Wujiang, the low-voltage power industry in Yangzhong, the lamp market in Wujin, the glasses industry in Danyang, the plate processing market in Pizhou and so on. There are more than three hundred enterprise clusters 939

whose output value surpasses 90 million Yuan, in which the business clusters in whose output worth is 10-50 billion...

References: [1] Xie Rongli. The present situation in the development of Oriental SMB group. Economy forum, 2007, (4): 57-58(in Chinese) [2] Lin Hanchuan, Wei Zhongqi. The existence and development of the SMB. Shanghai finance and economics college or university publishing press, 2005: 58-70(in Chinese) [3] Fu Jingyan, Zheng Jie. The SMB cluster as well as competitive advantage. Finance and trade analysis, 2006, (2): 85-89(in Chinese) Lu Xianming, Li Yina, Ye Fei. The research on Chinese SMB cluster. Jiangsu business theory, 2007, (12): 86-87(in Chinese)

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