Research On Performance And Development Strategy Of Textile Listed Companies Based On Diversification

The textile industry which is a traditional superiority industry of our country and a main industry that can earn by exporting plays an important role in our country national economy. Firstly, starting from the existing literature at home and abroad, this text analyzes the positive influence and negative influence of enterprise performance through diversification, and the relationship between diversification and performance of textile listed companies in theory. In empirical part, this paper selects 60 textile listed companies as the sample and chooses profit ability, growth ability, operation ability, market value of textile listed companies as performance indicators. This paper studies the relationship between diversified types and performance of textile listed companies by using descriptive statistic and analysis of variance, and studies the relationship between the degree of diversification and performance of textile listed companies by calculating the degree of diversification by Herfindhal Index method and using regression analysis method. Through theoretical analysis and empirical research, this paper draws a conclusion: the degree of diversification has positive correlation with profit ability and growth ability of textile listed companies; the profit ability of textile listed companies which execute related diversification development is better than the ones which execute unrelated diversification development. At last, this paper puts forward some suggestions about how to execute diversification development of textile listed companies.