Analysis Of Financial Performance Of Real Estate Enterprises Under Light Asset Operation Mode

Since the 21 st century,China's rapid economic development has become one of the world's forefront,and the industry that contributes the most to China's economic development is the real estate industry.China's real estate industry has now become a pillar industry supporting China's economy.Since the market reform in 1998,the heavy asset operation mode has been favored by China's real estate industry,and the main profit point of the heavy asset operation mode is to obtain profits through the acquisition of land and development and sales,and the rapid growth of gold in the real estate industry.During the period,many real estate companies developed rapidly in this way,but at the same time there were some problems in the real estate market,such as rising housing prices.In order to curb the unhealthy development model of the real estate industry,the state has also continuously introduced adjustment policies in an attempt to bring the real estate industry back on track.At the same time,consumers' perceptions of buying houses are constantly changing,which has also led to market volatility.Therefore,many real estate companies face market volatility and constant fluctuations in house prices.Once they are too late to adjust,they will face various crises,such as poor performance and cash flow crisis.As a result,the problems in the past heavy asset operation mode have become increasingly prominent,such as the inventory turnover rate is too low,the previous capital investment is too large.Therefore,Chinese real estate companies are committed to relying on transformation to get rid of the current predicament.On the basis of studying a large number of relevant literatures,this paper selects Vanke,a representative enterprise in the real estate industry,for analysis.Vanke is an early stage of transforming light assets in many real estate enterprises.There are sufficient data and materials for research.It is undergoing a strategic transformation of light assets,and studies the effects and shortcomings of its transformation from the perspective of financial analysis.This paper first analyzes the current large-scale environment of the real estate industry using PEST analysis method,and then analyzes the urgent needs of the industry through financial data analysis.This selects the Vanke Group,a leader in the real estate industry,for analysis,mainly introducing the face before the transformation.The dilemma and the need to transform the operation of light assets.Then it introduces the objectives and strategies adopted by Vanke's transformational light asset operation model,analyzes the transformation effect of Vanke's light asset operation mode,mainly uses the data in the Vanke Annual Report,and adopts appropriate indicators to compare and analyze the changes before and after the transformation of Vanke's light assets.The difference in financial performance is mainly based on vertical comparison,supplemented by horizontal comparison,to verify the effect of its transformation and its problems.Based on the success or failure of its transformation,it provides advice to real estate companies that have or will undergo a transition to a light asset operating model.