Research On The Impact Of Customer Concentration On The Performance Of Enterprises With Overcapacity

Since 2003,the status quo of overcapacity in the aluminum industry has become the focus of national supervision and regulation.The National Development and Reform Commission,the Ministry of Industry and Information Technology and other ministries have issued continuous guidance to control the overcapacity of the aluminum industry.The overcapacity has led to the backlog of enterprise products and the decline in capital turnover rate,which has intensified competition among enterprises.The survival conditions of enterprises in this industry have met severe challenges.Breaking through the bottleneck of enterprise survival,seeking the way of enterprise development and improving corporate performance have become the common face of the aluminum industry.The real problem.The academic community has not formed a unified opinion on the impact of customer concentration on corporate performance.Most empirical research often points to excessive customer concentration,which will reduce the independence of the enterprise and bring risks to the enterprise.However,in the case of overcapacity,the position of buyers and sellers changes,the buyer has more say in the transaction;and the seller's primary goal is to achieve sales and collection of receivables.With longterm stable customer resources and relying on good relationships with customers,it is possible to achieve this goal.High customer concentration may make overcapacity companies gain certain competitive advantages and enhance corporate performance.The concentration of customer concentration can reflect the degree of integration of the supply chain of the enterprise.The customer concentration of the CSRC requires the listed company to disclose the sales of the top five customers in the sales account as a percentage of the company's total annual sales,thus becoming a research enterprise supplier and customer relationship.A good entry point for the problem.In the years when the customer concentration was relatively high in 2008-2010,Nanshan Aluminum's performance was better than other aluminum companies that suffered from the financial crisis and the fall in aluminum prices.Nanshan Aluminum Co.,Ltd.improved its relationship with customer resources.Corporation value.Based on the current situation of the aluminum industry,this paper analyzes the situation of high customer concentration years by using the overcapacity enterprise Nanshan Aluminum as the analysis object,and analyzes the influence of customer concentration on the performance of Nanshan Aluminum Corporation using the asset return rate index.At the same time,the EVA indicator was used to evaluate the performance of Nanshan Aluminum in the high customer concentration year.After research,the paper draws the following conclusions: High customer concentration has a certain positive impact on the performance of Nanshan Aluminum,but in the later stage of the transformation of case enterprises,attention should also be paid to the risks.This case also reminds us that enterprises in overcapacity industries should focus on their own transformation and upgrading in order to obtain a stable source of customers.The resources of major customers also promote this process.This paper analyzes the concentration of customers on Nanshan Aluminum.The impact of this overcapacity industry performance is a useful complement to the original customer concentration literature.