strategic positioning in the strategic cost management which basses on value chain analysis. Secondly, from the definition of cost reduction in the value chain analysis, analyze enterprise internal value chain, vertical value chain and horizontal value chain to construct the value chain model of cost reduction. bined with case analysis, pointed out that value chain analysis method for enterprises to build a sustained cost reduction environment. Again, through controlling the cost drivers of each big industry in the TCL group, the group effectively reduces the cost and achieved good results. Finally, the group obtains the effect and inspiration from the strategic cost management based on the value chain.РKeywords : TCL Group ; Strategic Cost Management ; Value Chain ; Value Chain AnalysisР4