Huatai securities seeks to list in the London Stock market
Huatai Securities is the fifth largest brokerage firm in terms of assets. The company in the recent past has taken some strategic approaches that seek to place it on the world market. In the recent years the company has partnered with Alibaba a plan that is aimed at making it more vibrant in the market. However, the latest move for the company to be listened in the London stock market seems to be the most ambitious strategic management plan. The plan might give the company a chance to trade in the international market thus opening a link for companies to be listed both in the London stock market and the China market.
In the recent years the company has been taking several strategic decisions that reflect much on its strategic goal. After the company gaining a strategic advantage in the Chinese market, he focus is to be able to take its business to the international (Reuters). Although the international market present several challenges that the firm should be able to overcome before taking foot, already the approach that it has taken seem to give it an edge. The idea of partnering with the firms that have already managed to do business at the international level is the best approach that the company has taken. Alibaba is known for the international business that it has engaged in that stretches beyond the local scale and goes to the global scale. This partnership provides a smooth riding that Hyundai can focus on and thus take advantage of the international market.
A Huatai strategic goal is to bring the Chinese stock market to the world while at the same time bridging the world stock market with the Chinese business. The approach has several gains since for the recent years the Chinese firms have been shaping the world in terms of innovation technology and resource utilization (Reuters). Just in the recent years many firms have moved their business to China due to the good business environment provided in the country. Therefore, the strategic alliance that seeks to open the stock might for the world to enter into China might have a huge impact not only for the company but also for the Chinese investors.
Besides, London is one of the leading stock markets in the world. Combining the emerging Chinese presence in the international market and the long history of the London stock exchange seems to be a great strategic approach. Not only will the stock market providing a good ground for the company to list the Chinese stock and bring them to the wealthy investors, but it would also present a chance for the stock to appreciate in value. The idea thus might have a huge impact to the Chinese economy as well as boosting the company’s image at the international level.
There might be several challenges in the way companies position themselves strategically. Therefore, managers are often expected to think and look for the best approach that can give it a competitive advantage. In looking at the approach that the firm has taken, there are several advantages and this essence of strategic planning. There is need to look at the future trends and thus position the firm in a way that it ca take advantage of these trends. The firm’s decision thus is the best strategic approach.
Reuters. “China’s Huatai Securities Plans to List in London on December 14-Source – The New York Times.” N.p., 4 Dec. 2018. Web. .
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