Research On Financial Performance Of Internet Transformation In Traditional Retail Enterprises

In the past ten years,relying on technological advancement and policy dividends,“e-commerce retail” enterprises have developed rapidly.At the same time,traditional retail companies are getting harder to develop due to the impact of e-commerce and the backwardness of their business philosophy.The idea of embracing the Internet,developing online capabilities,and integrating online and offline development has gradually been recognized by the academic community and the retail practice community.As the transformation of the Internet transformation of the retail industry continues to deepen,relevant research should also keep pace with the times.Therefore,it is quite meaningful to explore the effect of Internet transformation transformation and the experience of Internet transformation in traditional retail enterprises.This paper takes the case of Suning's Internet transformation as the research object,and uses the combination of literature analysis and case analysis to evaluate the effect of Suning's Internet transformation.First of all,the article expounds the concept and motivation of enterprise transformation,the concept of Internet transformation and the new retail connotation of intelligence,combs the theory of financial performance,and analyzes the rationality of financial performance measurement and the applicability of various financial performance evaluation methods.Secondly,it summarizes the development status of China's retail industry and the trend of Internet transformation,paving the way for follow-up research;then,introduce Suning company,explore the motivation of Suning's Internet transformation,analyze its transformation stage,and detail the transformation strategies of each stage;Through the financial indicators,the construction of a comprehensive analysis system of financial performance and other methods to measure the effect of Suning's Internet transformation.The study believes that Suning's financial performance changes are in line with its transformational stage characteristics.The company's Internet transformation strategy is properly selected,and the long-term effect of transformation is gradually reflected,but its inventory and accounts receivable turnover needs to be improved.Finally,based on the above conclusions,this paper suggests that Suning should determine its beliefs and continue to deepen the transformation of the Internet;further improve the modern logistics system in the transformation and development,improve the inventory turnover capacity;strengthen the management of accounts receivable and enhance the accounts receivable turnover ability.Other traditional retail enterprises intending to transform should learn from Suning's successful experience and explore the Internet transformation path with “own characteristics”;pay close attention to financial performance changes during the transformation process,and analyze the matching between financial performance level and transformation stage,so as to implement the transformation strategy better.