The Financial Analysis And Diagnosis Of BYD Based On Harvard Analysis Framework

The auto industry started late in China,but developed rapidly.After half a century of growth,the auto industry of China has developed into a complete range,the production capacity continues to grow,the product level is increasing automotive industry system.The auto production of China sales topped the world,becoming the world's largest automobile market.The automobile industry has now become an important part of China's industry and plays an important role in China's economic development.However,with the global climate deteriorated and a serious decline in air quality,green travel and low-carbon environmental protection has gradually become the focus of public concern.In this environment,the new energy vehicles gradually began to rise.And as China's new energy automotive industry leader BYD Co.,Ltd.,its analysis and research will help us understand and predict the business and the industry's current situation and the future.By combining the internal and external situation of enterprises,the analysis of the financial statements of enterprises can evaluate the past and present performance of enterprises and predict the future development of enterprises.The traditional financial analysis has some shortcomings,but simply analyze the financial data to evaluate the situation of the enterprise,ignoring the overall environment and development strategy.The Harvard analysis framework can analyze the financial situation of the enterprise from the strategic level,so as to directly find out the shortcomings in the development of the enterprise,and through the search for the advantages of nuclear for the development of enterprises to make more scientific predictions.This paper makes a comprehensive analysis and diagnosis of the financial situation of BYD by using the Harvard analysis framework.This paper first introduces the basic situation of BYD Company,then uses the strategic analysis of BYD as a logical entry point to carry on the analysis of the "Porter Five Force Model" to the automobile industry and use the conclusion of industry analysis,comparative analysis of BYD's company,clear the BYD company's existing strengths,weaknesses,opportunities and risks,followed by the BYD company for accounting analysis,financial analysis and prospects analysis.Among them,the financial analysis is the focus of the financial statements by comparing the company's detailed analysis of the company's solvency,operational capacity,profitability anddevelopment capabilities,the company has a problem,on the proposed to BYD to put forward feasible countermeasures and suggestions.