The Asset-light Profit Model Research Of HL Company

In the current economic situation.,the competition between enterprises is no longer simply is the competition of product,more important is the competition between business models that profit model,a revenue model is suitable for enterprise development can make enterprises to enhance their core competitiveness,constantly create more value.Nowadays,light asset profit model is favored by more enterprises with its uniqueness and innovation.Light assets profit model by putting a low added value outsourcing,centralized superior resources on their core link,with fewer resources to achieve the maximization value,so the model got the favour of many garment enterprises.However,in the process of applying this model,many enterprises fail to achieve the desired effect and even the opposite result,because they have not reasonable and effective management.Therefore,the analysis of the profit model of light assets in the garment industry helps enterprises to realize their existing problems and optimize them,which can help the long-term development of enterprises.This article is based on the research of HL Company,the representative enterprise of the light asset profit model.This article starts from the basic theories of capital value and value chain.From the perspective of value chain,it analyzes that how do the HL company operate in the front,middle and back end of the value chain.It was found that it achieved rapid expansion in the beginning.However,as the scale continued to expand,there were financial problems such as slow inventory turnover,high financing pressure,as well as the risk of cultivating potential competitors and outsourcing product quality failures.And then it is concluded that the cause of these problems,including internal factors such as rapid scale expansion,single financing methods,and excessive virtual operations,as well as external factors such as unreasonable establishment of franchisee responsibilities and tensions with suppliers.Based on the above findings,the article also put forward the corresponding optimization measures from both internal and external aspects.It is hoped that this study will promote the faster and better development of HL Company,and it will also provide reference for other light asset operating companies in the same industry.