Discussion On The Implementation Of Financial Strategy Based On Value Chain

Along with the further development of themarket-oriented reform,uncertainty and complicated economic environment,the establishment and development of a enterprise not only need scientific and meticulous management,but also a wide strategically insight and thought.Modern enterprises are now more and more realizing the importance of strategy,and paying great attention to strategic management practice.Correspondingly,enterprise financial strategy management focusing on future shows strong vitality and also receives an unprecedented attention by financial academics and entrepreneurs.However,in today's world with rapid development of the economic globalization and knowledge-based economy,the basic theories of economic dynamics observed by people and the guidelines for economic activities have changed greatly,the financial management's objective is mostly changed from traditional maximizing corporate profits to maximizing the value of enterprise.Thus,the financial strategy should put its eyes on the study of value,organicallycombine strategy management,information management and value chain management,transfer the attention tothe value and its activitiesand focus its management target on section of the value chain.The exertion of the value chain management proposed by Michael Porter on financial management has great significance which is bound to leave a positive impact on enterprise financial management and promote a new financial management model.The enterprise financial strategy based on value chain is exactly the core of the new financial pattern.Under the guidance of management theory,it aims to maintain the market competitive advantage for enterprises,create value for customers and establish financial policies,principles and development plan which possess the character of overall situation,orientation,long-term insight and significance in the organization of enterprisesfinancial activities and enterprisesfinancial relations of value chain.On the research of business financial strategy,they are often traditionally confined to analyzing the impact of the internal management and the external environment to financial strategy in only one enterprise and put so much emphasize on the perspective of raising capital,investment and other issues in sole enterprise.On the contrary,the research of financial activities and relationship in value chain enterprise group under the competitive environment is correspondingly less.Under the guidance of value chain theory,this paper recreatestraditional procedures and methods by using of value chain management concept,it does research on enterprise financial strategy from the perspective of systematic and dynamic developmentand tries to establish a financial strategy system which confirmsto the need for the development of enterprise strategy.As a result,it will do great help to cultivate and promote the core competence of enterprises.This dissertation uses the combination of theoretical analysis and case study to discuss theenterprise financial strategy based on value chain of Gome.It consists of six parts,the firstpart is introduction which reviews the internal and external researching conditions,indicates the background and meaning of this researchand illustrates the researching thought and the main method.The second part is the theoretical statement of financial strategy of value chain,it reviews the traditional basic theory of enterprise financial strategy,analyses the close link between value chain and enterprise financial strategies,finds out the effect of this theory on enterprise financial management concept,illustrates the necessity of the combination of value chain and enterprise financial management and the establishment of enterprise financial management model based on the value chain and confine basic theory about the concept and character of enterprise financial management strategy,all above making a stable theoretical foundation for the following parts' writing.The third part is the implementation of the Gome's financial strategy based on value chain,itintroduces the background of Gome in detail and analyses of motivation of this implementation and Gome's financial strategybased on value chain.The fourth part mainly elaborates the effect of the Gome's financial strategy based on value chain and the problems in its implementation.The fifth part summarizes the cases and provides some suggestions for perfecting the Gome's financial strategies.The last part carries a summary to this article containingthe main argument,result of this research and the outlook for future study.