Research On Motivations Of Strategic Transformation And Performance Of Baiyuan Trousers

Vigorous development of global economy and information technology make the competition among enterprises increasingly fiercer.Facing the new development trend,many enterprises have to adjust their original strategy and transform for their own development.Under the influence of the sluggish industry,in 2014,clothing industry entered a deep transition period,but the terminal retail market failed to see a significant improvement with most clothing enterprises still facing inventory and channel crisis.So transformation and upgrading will become the theme of the industry.Strategic transformation is an important decision made by enterprises to cope with the changes in their internal and external environment.In recent years,more and more researches have been made on the strategic transformation of enterprises.The implementation of strategic transformation will have a comprehensive and profound impact on the development of enterprises.And the study on the motivation and performance of the strategic transformation of enterprises serves to better understand its implementation.Taking Bai Yuan Trousers,the typical case of strategic transformation of clothing industry as the object,a research is carried out on its transformation based on the theory of strategic transformation and performance evaluation.This paper is divided into several parts.First,the basic situation of the BaiYuan Trousers is introduced,and then a SWOT analysis is carried out.It is found that under the background of the rapid development of the Internet,the sluggish clothing industry and the weak growth of the main industry,Bai Yuan Trousers can transform its business to cross-border e-commerce for its brand advantages,steady franchisees,supply chain management experience and the support of government.Second,this paper introduces the process of the strategic transformation of BaiYuan Trousers and evaluates its transformation mode.Third,,the research focuses on the motivation and performance of the strategic transformation.Finally,the author summarizes the strategic transformation of BaiYuan Trousers and puts forward some suggestions in order to provide reference for the strategic transformation of Chinese enterprises.Through the research,it is found that the motivation of the strategic transformation of BaiYuan Trousers is divided into two aspects: external cause and internal cause.The external reasons include the development of the Internet,the depression of the industry and the emergence of crossborder e-commerce while the internal drivers cover a shift in poor performance,a reversal of the fall in share prices and the expansion of new businesses.Through the research on the performance of the strategic transformation of BaiYuan Trousers,it is concluded that since the strategic transformation in 2014,the profitability,operation ability and growth of the company have all been promoted very well,the solvency has declined,but still fluctuates within a reasonable range.solvency with the value added improved,and market share,R & D capability and employee retention rate enhanced,which shows that the transformation is a success.However,the analysis also reflects problems,such as the decline of net interest rate of sales,the slow growth of the main business,the unreasonable financing structure and the low conversion rate of R & D investment rate.Therefore,this paper puts forward the following suggestions: strengthen supply chain management,seize the opportunity of cross-border e-commerce to promote the integration,improve the financing structure to prevent financial risks,and increase investment to enhance the competitiveness of the enterprise.