Research On The Financial Strategy Of Sichuan Changhong Based On The Enterprise Life Cycle

At present,China's macro background presents the following characteristics: First,the real economy is facing a transition,and innovation-driven development strategies need to be implemented in depth;Second,the domestic demand potential is further released,and it is very important to strengthen domestic demand for sustained economic growth;Finally,the degree of opening up to the outside world is further expand.In this context,the household appliance manufacturing industry and even the entire traditional manufacturing industry are facing an industrial upgrading and transformation.Related companies are not only pursuing "bigger" but,more importantly,are "big and strong." As a living entity,a company has different stages of life.Different financial strategies have different goals in different life periods,and the corresponding financial strategic choices are not the same.Therefore,in the analysis of corporate financial strategy,we must consider the company's "age." In order to help the company achieve sustainable development,the company proposes optimization suggestions that are appropriate to the situation of the company.Sichuan Changhong is an influential information appliance provider and service provider.The development of Sichuan Changhong can be divided into three phases: the traditional consumer electronics phase from 1988 to 2003;the informational consumer electronics phase from 2004 to 2011;and the intelligent consumer electronics phase from 2012 to the present.The development process of Sichuan Changhong is,to a certain extent,the epitome of the development of China's home appliance industry.The study of Sichuan Changhong's financial strategy has important theoretical and practical significance.This paper first summarizes the company's life cycle and financial strategy theory,confirms the method of dividing the company's life cycle and the analytical framework of the financial strategy.This paper has adopted two methods to divide the life cycle of Sichuan Changhong and finds that it is currently in a mature period.At the same time,this paper analyzes the internal and external environment of Sichuan Changhong during the mature period.After that,this paper analyzes the current status of Sichuan Changhong's financial strategy during its mature period,and finds that it has problems such as large fundraising risk,low investment income,and low dividend distribution.Through further analysis,this paper finds out the reasons for Sichuan Changhong's financial strategy issues,and combines environmental analysis with suggestions for optimization such as increasing long-term fundraising,attempting asset securitization,establishing core competitive advantages,ensuring that domestic investment is not weakened,and adopting suitable dividend policies in combination with income conditions.This paper aims to improve the practicality of the company's life cycle and financial strategy theory by providing theoretical and case studies,and on the other hand,it provides reference for the research of home appliance companies' financial strategies,enabling them to allocate resources more efficiently,complete their business transformation and achieve sustainable development.