Analysis Of Financial Statements Of Faw Car Under The Framework Of Harvard Analysis

Automobile industry is an important pillar industry of the national economy.It has a long industrial chain,a high degree of correlation,a wide range of employment,and a large consumption pull.It plays an important role in the national economic and social development.Since the beginning of the 21 st century,China's automobile industry has developed at a high speed,forming a multi-variety,full-range production and supporting system of all kinds of vehicles and parts.With the continuous improvement of industrial concentration and the remarkable improvement of product technology level,China has become a major automobile producer in the world.By the end of 2018,China's automobile production and sales have been ranked first in the world for ten consecutive years.Through the traditional financial analysis method,it is difficult to thoroughly analyze the existing problems of the whole industry chain.Single financial data can not show the macro environment of the enterprise in three-dimensional,nor can it comprehensively analyze the strategy of the enterprise.Therefore,it is particularly important to select a reasonable analysis method for the financial analysis of representative automobile enterprises.This paper chooses FAW Car Co.,Ltd.(hereinafter referred to as "FAW Car")as the research object to carry out the analysis,because FAW Car is in the leading position in the domestic automobile independent brand and has certain representativeness in the industry,which can reflect the real development situation and trend of the current automobile industry,both in financial aspect and in strategic planning.He provides references for enterprises and contributes to the development analysis of the whole industry.The full text is divided into five parts altogether.The first part is the introduction,which explains the background,research significance and research content of the topic.Through reading the relevant literature at home and abroad,it summarizes the latest industry development situation and the latest national policies in recent years,and discusses the necessity and development suggestions of enterprise financial analysis.The second part is related theory.It introduces PEST analysis theory and SWOT analysis theory respectively.Finally,it introduces Harvard framework analysis method.The Harvard framework analyses the operation of enterprises from four perspectives: strategy,accounting,finance and prospects.The third part is the general situation and industry analysis of FAW car company.Firstly,the background of FAW car and its development in recent years are briefly introduced.Then,the output and sales of China's automobile industry in recent years are analyzed and discussed by data analysis method,and the comprehensive development situation of China's automobile market is evaluated.The fourth part is the case analysis of FAW car under Harvard framework.As an important part of the article,we use Harvard framework to analyze FAW car enterprise interior.Firstly,we analyze the strengths,weaknesses,opportunities and threats of the enterprise from the strategic point of view.Secondly,from the accounting point of view,we select the data disclosed in FAW car annual report from 2015 to 2018 as the fixed assets,inventory and receivables of the enterprise.The actual situation of the accounts is analyzed;then from the financial point of view,the operation status,profitability and solvency of the enterprise are analyzed;finally,the prospects of FAW car are evaluated and analyzed.In the fifth chapter,aiming at the problems exposed after the comprehensive financial analysis of FAW car in the framework of Harvard analysis in the fourth chapter,the author puts forward pertinent and constructive suggestions for improvement,hoping to provide effective support for the strategic decision-making of enterprises and provide some new ideas for financial analysis of other automobile manufacturers.