Business Strategy of TCL Technology Group Corporation: Porter's Five Forces Analysis

Abstract

This paper analyzes the business strategy of TCL Technology Group Corporation through The Porters Five Forces Framework. Competition from competitor sellers, competition from some possible new entrants to the market in the same area, competition from manufacturers of substitute products, supplier negotiating power, and consumer bargaining power are all included in the Five Forces Framework model. TCL Technology Group Corporation development has been a qualitative leap after restructuring and the company comes out on top in the world. TCL Technology Group Corporation is faced with fierce competition among leading enterprises which encourages it to promote development of core technology, while it has little substitute products and lower threat from new entrants because of its technical expertise. However, TCL Technology Group Corporation is weak in supplier bargaining power due to similar supply needs among various companies, at the same time, customer bargaining power is strong. Researching on TCL Technology Group Corporation, it is obvious to find out the situation company is faced with and the competitive strategies which is suitable for TCL Technology Group Corporation development in the future.