Hotel Industry Asset-light Operation Of Financial Performance Research

As economic conditions gradually improve,people’s travel demand grows and the hotel supplies also will increase.Appeared on the market a lot of hotels,prosperity of the market at the same time meet the needs of people.But in our country present stage economic cycle under the background of uncertainty,many hotels profit growth to maintain even under great pressure.Sharing Economy has been developing rapidly in recent years,new forms of operation in the hotels industry,also make the traditional hotel faces increasingly fierce competition.At present,how to adjust their business models in order to realize the healthy development of their own,became the problem of hotel enterprises.Like to use a traditional hotel expansion mode of heavy assets,can’t help enterprises rapid expansion in the market,there are some drawbacks.If you want to develop in market competition,beat his opponent,the hotel’s managers need to know about trade new trends,in order to complement each other.LN Holdings as a listed company,as a case study.Based on LN Holdings as a case,this paper first introduces the LN Holdings heavy assets from the independent hotels model into the whole process of implementation of light asset operation mode,and analyzes the feasibility of its light assets operation mode,and introduced the mode of operation in light of its assets.Secondly,based on the annual reports of listed companies as the data source,from the earnings quality analysis,asset quality analysis,and cash flow analysis three aspects carries on the appraisal.Through the analysis of LN Holdings implementation asset light mode before and after the contrast and light assets during the operation and the comparison of peers,that light asset operation mode does improve the financial performance,and promotes the development of the company,which shows that the model is suitable for the company for the development of strategic choice.Finally,this paper combined with this mode operation,summed up the feasibility and adaptability of the mode of operation in the hospitality industry.I hope that this case will promote the long-term development of the industry.