African Journal of
Business Management

  • Abbreviation: Afr. J. Bus. Manage.
  • Language: English
  • ISSN: 1993-8233
  • DOI: 10.5897/AJBM
  • Start Year: 2007
  • Published Articles: 4190

Full Length Research Paper

Empirical study on strategic transformation to supply chain service of FTCLCs under global financial crisis

Wei-hua Liu1* and Xue-cai Xu2
  1School of Management, Tianjin University, 92, Weijin Road, Nankai District, Tianjin, China. 2School of Civil Engineering and Mechanics, Huazhong University of Science and Technology, Wuhan, China.
Email: [email protected]

  •  Accepted: 30 September 2010
  •  Published: 18 March 2011

Abstract

 

Under the global financial crisis, changes in external environment have positive impacts on strategic transformation of Foreign Trade-based Chinese Logistics Corporations (FTCLCs) to supply chain service. The paper adopts a seven-point Likert Scale analysis method and conducts a survey with questionnaire, and then makes factor analysis method to find out a necessary enterprise capability combination. The results indicate that there are 5 crucial factors which affect strategic transformation of FTCLCs: Operational capability inside, Strategy management capability, Profit mode capability, Flexible operation capability, and Control capability of operation, known as OSPFC. Moreover, the way to use OSPFC capability combination is discussed in detail in this paper. This paper would be useful for FTCLCs to detect capability defectives when making strategy decisions. Finally an empirical example, Shanghai Xinhai custom brokerage company in China is exemplified for reference.

 

Key words: Financial crisis, strategic transformation, supply chain service, capability combination model.