Research On Profit Model And Financial Evaluation Of Xiaomi

Different from traditional industries,the profit model of Internet enterprises is innovative in the process of continuous evolution under the influence of driving factors.Therefore,it is essential for Internet enterprises to have a profit model suitable for their long-term development.The success of Xiaomi can not be separated from the continuous innovation of the profit model.It is mainly reflected in how Xiaomi in different periods overcame difficulties,broke the original market pattern,and then promoted the development of the industry,and became the object of exploration and imitation of the industry.In the environment of fierce competition among Internet enterprises in China,the evolution of Xiaomi's profit model can provide reference for other Internet enterprises and hardware enterprises to innovate their profit model,and has high research value.Taking Xiaomi as the research object,this paper summarizes the concept and theoretical results of the existing profit model and the profit model of Internet enterprises,which lays a theoretical foundation for the follow-up analysis.According to the profit object,profit point,profit source,profit leverage and profit barrier,this paper analyzes the components of profit model of Xiaomi.Four driving factors of Xiaomi's profit model innovation are also clarified.This paper then summarizes the innovation process of Xiaomi's profit model of "fan effect profit model,integrated profit model of software and hardware,Internet service profit model based on IoT platform".Besides,this paper carries out financial evaluation of Xiaomi's profit model based on the overall analysis of Xiaomi's profit model and the profitability analysis of various businesses.It is concluded that the change of Xiaomi's profit model is reflected in the financial effect and confirms the evolution of profit model.Through the industry competition analysis of MI smartphone,IoT,consumer goods and Internet services,it is concluded that the profit model of Xiaomi has competitive advantages.This also makes the financial evaluation of Xiaomi's profit model more in-depth and comprehensive.Finally,the inspiration of Xiaomi's profit model is summarized.It also has reference significance and practical reference value for the transformation and upgrading of Internet enterprises.