Research on Competitive Strategy for SUNTHER Translation Company
|Keywords||translation company competitive strategy focus strategy|
SUNTHER Translation Company is established in 1995 with headquarter located at Jinan. SUNTHER has been providing high quality translation and consultation services for many large companies since establishment, obtaining abundant performance and winning a good market image and reputation. The business scope of SUNTHER mainly involves in industrial and patent translation services while the former mainly focuses on electric power industry, including power generation, transmission and transformation. In addition to these two main businesses stated above, such other businesses as website translation/localization and senior English training etc. are also covered. Languages involved primarily include English and Japanese while 90% of the operation revenue is from English translation. SUNTHER is currently introducing translation businesses of other languages, such as France and German. The Company is growing steadily since establishment with increasing revenue yearly. However, revenues in last two years are somewhat decreased as the market competition is worsening. SUNTHER is now in the face of a bottle-neck in development which should be overcome through carrying out a suitable competitive strategy.This paper is aimed at examining and working out a reasonable competitive strategy for SUNTHER so as to succeed in serious market competition. Individual strategic analysis tools for analyzing internal and external environments SUNTHER confronted are used to conduct analysis and evaluation with respect to macro environment, industrial competition state and internal condition. Results of the said analysis show that the translation industry presently is benefiting from policies of culture industry and the regulations regarding to patent application create huge demand for translation services. Besides, good development prospects of power industry as well as mature CAT also provide hard-won chance for SUNTHER. Moreover, SUNTHER has a large number of strengths as well, including complete management system, numerous talents, tremendous translation database, good brand image in patent and electric power translation services. Nevertheless, current translation market is in short of enforceable regulations and laws due to which the market is in disordered competition with severe price war. In addition, the high-end market is held by international translation magnates and it is hard to change. The marketing strength is weak for SUNTHER and the salary policy is also unreasonable which results in serious talent loss. Based on the above analysis, Quantitative Strategic Planning Matrix (QSPM) is employed in this paper to carry out strategy comparison and selection and Focus Strategy is finally determined for SUNTHER.For purpose of effective performance of Focus Strategy, the following measures should be taken: further strengthen the corporate culture and enhance quality awareness, establish a learning organization; perfect organization structure and set up Quality Control Department to ensure quality of translation products to be delivered; intensify the marketing strength and equip with more personnel for Marketing Department, adopt multiple marketing channels and establish marketing consultant team; optimize human resources management and employ jacobinical salary policy, enhance internal talent training and set up broad part-time translator team; other assistant measures such as translation database and efforts for implementation of effective industrial regulations.Study of this paper not only contributes to obtaining core-competitiveness for SUNTHER but may also enable it to gain success in fierce market competition. Furthermore, conclusions of this paper could provide reference for translation companies when making competitive strategies.