A Study On Capital Management Based On The Perspective Of Value Chain

In2014, the world economy is still in the adjustment stage after the crisis. Under thebackground of “third phase of superposition” and turning changes of the real estate, ourcountry is facing increasingly huge economy downward pressure. Enterprises become in thepursuit of constant improvement of their own competitiveness in the complex economicenvironment, while the enhancement of the competitiveness depends largely on the dailyfinancial activities, especially the link of working capital. The traditional mode of workingcapital management can no longer adapt to today’s intense competition environment.Therefore, enterprises need to find the management model of working capital to meet themarket demand.Value chain management is an effective tool to obtain and maintain competitiveadvantages. The purpose of working capital management is to achieve value maximum. As aresult, it’s feasible to study by combining value chain with working capital. Throughanalyzing the close relationship between working capital and value chain, this paper definesthat the management of working capital requires the view of value chain. Through analyzingthe related theories of value chain acting on working capital management, this article specifiesthe specific implementation methods, so as to realize the innovation of working capital’smanagement mode, which will better guide the practice of working capital management. Theresearch of this paper cannot only improve the theory on working capital management, butalso can provide guidance to the practice of working capital management. This paper firstlyanalyzes the relationship between the value chain and working capital management, and othertheories about value chain effect on the working capital management. This paper secondlyanalyzes the meaning and objective of working capital from the perspective of value chain,puts forward the method to realize working capital management from the perspective of valuechain and evaluation system of working capital from the perspective of value chain. WithDong’E E-Jiao as an example, this paper finally analyzes it’s management method ofworking capital from the perspective of value chain, analyzes the effect of working capitalmanagement, summarizes the problems existing in the management and puts forward the corresponding improvement suggestions.This paper is innovative for that it has found the key working capital in the activities ofvalue chain through analysis of value chain and working capital management, and on thebasis of strategic analysis, it puts forward the method of realizing working capitalmanagement from the perspective of value chain. Through the analysis, this paper argues thatin order to achieve the effective working capital management, it is necessary to integrate thethought of value chain into working capital management, and examine the relationshipbetween upstream, enterprises and downstream related to working capital from a strategicpoint. To realize working capital management from the perspective of value chain, we shouldfocus on the strategic management of the company, optimize the internal quality management,improve the upstream chain management, strengthen to maintain the downstream relationshipand ensure the reasonable use of funds. Meanwhile, the research of this article is expected toprovide reference with practical significance for the management issues of working capital inour company.