Facing concerns of the longevity of the OEM model within China

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The purpose of this paper is to establish what elements are required to achieve the transfer of their business model from OEM (original equipment manufacturing) to OBM (own brand manufacturing) and how such an operational development would be both managed and implemented. Over the last few decades the importance of flexibility within your business plan has proved to be a key strategic advantage, identifiable by the success of companies who are able to respond rapidly to increased competition or inevitable market changes. Whereas positioning used to be seen as "the heart of strategy" it is now being viewed as overly stagnant and ineffective within the dynamic and ever changing world of today (Porter, 2011, pg. 1). Instead it is considered as essential to constantly develop ones operational effectiveness and strategy to ensure superior performance, brought about through progressional change. To prevent market irrelevance it is therefore essential for companies to constantly improve all aspects of their business in order to distance themselves from fellow competitors.

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