The Profitability Analysis Of Nanjing C Auto4S Shop

In the whole automobile industry chain, car sales link is one of the core of thewhole automobile industry. To car manufacturer, need to be able to rapidly promotetheir products, so agents or distributors will become a key bridge betweenmanufacturers and customers. Speaking to clients, need platform have an intermediatelink to purchase a car to provide related services and the subsequent use of thesecurity. Auto4S shop with vehicle sales (sale), parts (sparepart), after sale (service),information feedback (survey) four functions in one, so it has become an importantmode of auto sales.Since2002, Chinese automobile industry has begun to enter the explosivegrowth stage, especially with the rise of private car consumption, demand for carsbegan to rise rapidly, greatly promoted the rapid development of China’s automobileindustry. In recent years, the rapid development of China’s automobile industry, since2009, China replaced the United States as the world’s largest car market, theautomobile production and sales for4consecutive years has ranked first in the world.The automobile manufacturers to expand their market share, in a lot of the layout ofthe construction of automobile4S shop, a large number of4S stores a few years afteranother, according to statistics, the current total of20000more than6auto4S shop,of which only the brand in the number of national4S stores have reached more than480, and the number of automobile4S shop still with increasing the number of annual600-1000. With the continuous increase in the number of automobile4S shop, thecompetition between the same brand, different brands of automobile4S storesgradually increased, some brands of automobile4S stores have been operatingdifficulties in operation cost increasing pressure, and even the emergence of transferor closure of the phenomenon. In view of this, the car manufacturers to developautomobile4S stores pace slows down, the development of automobile4S shop from the high-speed development of the golden period gradually into the integration periodsmoothly over. The expected future with further aggravate the competition ofautomobile market, automobile4S stores will face more brutal competition in themarket, the survival of the fittest market trend will emerge.This paper selects the Nanjing C auto4S shop as an example, the profitability ofthe business as the the research direction of the thesis, based on financial managementtheory as the foundation of the research, related theory and enterprise management,methods of combination of theory and data, the internal and external factors affectingNanjing C auto4S shop profitability of a detailed analysis, and put forward topromote Nanjing C auto4S shop profit ability the countermeasure and the suggestionfrom the business operation and management perspective.First of all, from the development course, domestic and foreign automobileindustry and the automobile4S shop industry is currently facing problems,introducing the background and significance of the study, and then put forward themain problems to be solved, the main contents and frame structure.Secondly, the paper summarizes and analyzes the operation and profitability ofthe situation of Nanjing C auto4S shop at present, find out the existing problems ofenterprise profitability level.Thirdly, the paper carries on the analysis to the internal and external factorsaffecting Nanjing C auto4S shop profitability, respectively from the external factorsaffect the profitability of enterprises, such as the automobile industry trends, businesslocation factors,manufacturers business policy on the profitability of the enterprise;the enterprise internal factors, such as vehicle sales and after sale service, the level ofenterprise two main business profit center level of profitability, cost control,internalcontrol and other factors on the profitability of the enterprise. Finally,aiming at theeffect of the existence of Nanjing C auto4S shop profitability problems, from thepoint of business mode innovation and sales, after sale service put forward feasiblecountermeasures and suggestions to raise the level of corporate profits, at the sametime, in view of the enterprise internal control recommendations and measures. Thepaper hopes on the Nanjing C auto4S shop can adopt a diversified business strategy,cost management level of profitability, fine quickly upgrade the vehicle and customer service and perfect internal control mechanism, to improve the profitability of theenterprise purpose,so that enterprises can get rid of the current financial difficultiesencountered as soon as possible.The last part puts forward conclusions and suggestions for future managementand development of automobile4S stores, hoping to provide a reference for otherdomestic automobile4S shop counterparts, to quickly enhance profitability, in orderto promote the healthy and sustainable development of the entire automotive industry.