Research On The Financial Performance Of Suning's Transformation Of Online To Offline

As an important pillar in the tertiary industry,the retail industry has a status that cannot be underestimated in the development of China's national economy and has always received much attention.With the development of the market and the popularity of the Internet,network technology is applied to all aspects of people's lives.People's dependence on online shopping services is increasing.At this stage,consumers are no longer satisfied with the pursuit of low prices.Start to pay more attention to consumer experience and service quality.In this context,traditional physical retail enterprises have been slow to develop due to physical store restrictions and geographical restrictions,and have been greatly affected by e-commerce.Therefore,the transformation of physical retail enterprises is imminent,and the transformation task is urgent and arduous.With the development of e-commerce,the physical storefront has experienced an unprecedented development crisis.Some traditional retail enterprises have also begun to turn to online operations.Large enterprises with retail industry as the main body have begun to change their business strategies in order to survive and develop.O2 O model It came into being.If the company can effectively combine the advantages of online and offline,it will definitely promote the development of the enterprise,but the blind follow-up transformation may also bring the survival crisis to the enterprise.Therefore,this paper selects Suning,which is representative in the transformation of retail industry,as the research object,and conducts indepth analysis and research on the financial effects before and after the enterprise transformation O2 O model,aiming to give other traditional retails based on the analysis of Suning.The transformation and development of enterprises bring certain enlightenment and reference significance.This paper first defines the related concepts of retail and O2 O model and expounds the theoretical basis of financial effect analysis.Then it sorts out the process of Suning's transformation O2 O model,analyzes its transformation motivation and transformation status,and before and after the transformation of Suning.Financial indicators analysis and DuPont analysis to evaluate the financial effects of Suning's transformation.Through the case analysis of Suning,it is found that the company may lose temporarily in the early stage of transformation,and there will be no immediate effect,but we must understand that this is the process that any transformation enterprise must undergo.Therefore,in view of Suning's short-term profitability and financial risks in the short-term after the transformation of O2 O model,this paper believes that Suning can take scale to achieve cost reduction and efficiency increase;at the same time strengthen measures on corporate capital structure management and other measures to reduce financial Risk and consolidation of transformation results.Through the case study of the financial effect of Suning transformation O2 O model,this paper draws the following conclusions: O2 O business model meets the transformation needs of traditional retail enterprises,Suning transformation O2 O mode is a market background and economic development situation The right choice;but we can't ignore the failure caused by the time lag of economic recovery in the transition.Through the research of this paper,I hope that it can provide a certain reference for the transformation and development of other physical retail enterprises.