Asset-light Profitability Approach:A Case Study Of Xiaomi's Business Operation

In today's network leapfrog development and rapid development of knowledge economy,on the one hand,enterprises are facing the difficulties of financing and profit space promotion caused by economic slowdown and overcapacity;On the other hand,under the impact of the vigorous development in the information age,the traditional asset-heavy operation mode focusing on the blind expansion of production scale is unsustainable,more and more enterprises need to adjust their production and operation mode,while the asset-light operation mode bring a spring of development for the enterprises in transition.Asset-light operation is based on exchanging the "lightest" input for the maximum benefit.Such "lightness" is not only the requirement of The Times,but also the necessity of enterprise development.In today's increasingly competitive auto-moblie market in Chinese market.,Xiaomi,as a typical representative of asset-light management enterprise in the tide of the Times,has attracted the attention of most domestic and foreign scholars for its achievements.The typical asset-light operation model is behind Xiaomi's success in breaking through sales volume of 100 billion in seven years and its ability to experience sales decline and return to the first camp of shipments.This article choosetypical light assets operation characteristic of millet group as the research object.Through analysis the characteristic of its light asset.Operation mode and financial indicators and non-financial indicators as a supplement to evalaute and anlysis Xiaomi operation,which discussed how millet work out in light asset to get resource advantage and keep core competiton.Finally,we summarize Xiaomi experience,that give some proposals for enterperise to improve operations and profitalilty.To its profitability analysis and evaluation,discusses how millet by light asset operation mode and resource advantage,to keep the core competition,obtain excess profit,finally summarizes the experience and put forward Suggestions,so as to provide reference for other enterprises to improve operations and using for reference.