Strategic Alliance on Logistic Enterprises – Trend and Government Tactics

Topics: Logistics, Supply chain management, Strategic management Pages: 10 (3025 words) Published: December 5, 2012
Strategic Alliance on Logistic Enterprises – Trend and Government Tactics

Abstract It has been admitted by the global enterprises that Strategic Alliances is a means to create value for enterprises. Logistical services’ globalization and synthesization promotes the strategic alliances among logistical companies. Under the circumstances, to view from macrofields, Chinese governments of all levels should try hard to break through departmentalism and regional protection so as to promote a domestic unified logistics market; to view from microfields, Chinese logistical companies should go into action actively, strengthen cooperative competition awareness, speed up information system construction, enter into an alliance with preponderant domestic and overseas enterprises in order to cope with the intense competition in concert.

Key words Logistics, Logistical Enterprises, Strategic Alliances, Tactics 1 Introduction
As a means to create value for enterprises, Strategic alliances have been admitted by the global enterprises. The challenge of logistical services’ globalization and synthesization promotes the trend of strategic alliances among logistical companies throughout the world. Logistical enterprises in China should go into action actively and enter into an alliance with preponderant logistical corporations in domestic and overseas so as to deal with the challenge in concert. 2 Logistical services’ trend

2.1 Logistical services’ globalization
As far as logistical services’ regional trend and global trend, logistical services’ globalization will be the main trend of the times in the 21st century beyond question. This is also the reflection of “logistical services are sure to break through national boundaries as world economy is changing more and more global today”.

The expansion of logistical services’ geographical range originates in the change of ways of enterprises’ operation and the requirement of enterprises’ gaining better productive efficiency and results. Most modern large-scale companies have achieved or are developing toward the separation of raw materials’ producing places, processing places and products’ selling places. In particular, as the development of global economic integration is changing faster, the trend of the separation of the above three places is also changing faster and more obvious with each passing day in order to gain raw materials of lower price, realize lower processing costs and achieve bigger selling profits. This pushes the expansion of logistical services’ geographical range at an unusual speed. At the same time, it raises the capacity and efficiency of interchange of commodities to a high degree that the wide-ranging application of modern science & technology in the field of communication, transportation, and information. This pushes the expansion of logistical services’ geographical range and also makes the efficiency of logistical services to be higher and higher.

A report published by Holland International Distribution Commission (HIDC) in the year 2002 points out that most large-scale manufactories are developing toward expansion enterprises now. This so-called expansion enterprises almost include all companies of global supply chain and effectively control them by means of advanced computer systems. The report holds manufacturing industry has practiced the theory of Mass Customization, is speeding up the globalization of its operations continuously and has put forward the demand for total-process services. The logistical total-process services demand very flexible supply chain and impel logistical companies to practice logistical services’ globalization. In addition, according to the World Investment Report published by the United Nations, there have been forty-four thousand transnational corporations in the world today. The output value of these 748

transnational corporations is twenty per cent that of the whole world. They control one-third of the world production,...

References: [1] Peter F. Drucker, The information executives truly need, Harvard Business Review,
January-February, 1995, pp
[2] Beamish, P. Killing, J. Ed, Cooperative strategic: European perspectives, The New Lexington Press,
1997, pp
[3] Buono, F. Anthony, Reengineering partnerships: process intervention in strategic alliances, Advanced
Management Journal, Spring, 1997, pp
[8] Zhou Jian, Strategic alliances and enterprises competence (Chinese), the Fudan Press, 2002.
Continue Reading

Please join StudyMode to read the full document

You May Also Find These Documents Helpful

  • Logistics Essay
  • The Trend of Logistics Development in China Essay
  • Essay on Strategic Alliance
  • Trends of Logistics Essay
  • Strategic Alliances Essay
  • Logistic Trend in Asean Countries Essay
  • Strategic Role of Logistics in Kazakhstan Essay
  • what is logistics Essay

Become a StudyMode Member

Sign Up - It's Free