Research On The Profit Model Of S Company Light Asset Based On Financial Perspective

As the competition of industry is increasingly today,innovation of profit model must be enforced.The development of China is traditional household appliance industry has been stagnating due to the restriction of heavy asset profit model.In the past,the mode had been applied was to occupied market by scale,and led to increasing overcapacity inevitably.With the rapid penetration and continuous development of information technology,ubiquitous information technology has made life tied to the Internet closely;efficient Internet technology used in commercial field widely;as well as the momentum of e-commerce developing strongly.In the wake of the tendency of it rapidly appeared on the horizon in global market,China has been also promoted by it.In the ranking of e-commerce market(2015),China had been ranked second.In this trend,the marketing of real store has suffered severe impact.Traditional retail model cannot promote a sustainable development of enterprises.Various companies had invested in e-commerce blindly,in order to cater this tendency,but were not effective,and some even on the verge of bankruptcy.Retail industry should delve deep into thoughts to understand how to seize the opportunity,use the advantages,produce the suitable profit model,and win the leading position.This paper aimed to analyses Company S,a leader in retail industry who has spearheaded the transformation of light asset profit model,so as to inspire other retail businesses.Based on a full absorption of relevant theories and research methods,this paper used financial perspective as a starting point to studied the objective,which is company S is transformation,and dissected it is development status and characteristics.Combined with the analyze of it is profitability,solvency and operating ability,these arguments were in order to briefly evaluate the actual effect of this transition,and finally it can be seen that Copany S has a broad development prospect through adopting this model.In addition,this paper was not only summarized the successful experience,but also analyzed the risk,and proposed some ways to optimize its light asset profit model,which including strengthen business optimization,enhance brand core competitiveness,value financial risk prevention.control and plan the management of working capital.The writer is hoping to provide a mirror to the optimization and improvement of profit model of same type enterprises,and a reference for the related enterprises that are willing to transform into the profit model of light assets.