Research On The Working Capital Management Of Haidilao Based On The Value Chain

Working capital is the most indispensable part and needs to be focused on in the production and operation of enterprises.For successful development of enterprises in any industry,the successful management of working capital is heavily relied on.The traditional working capital management has fragmented its integrity,it is difficult to integrate with the actual business of the enterprise and not conducive to comprehensively analyzing causes and solving problems.It has not been able to fully adapt to the new situation in today's society.In the process of constantly updating the working capital management method,the most recognized one is the value chain theory.As a typical traditional industry in China,the catering industry has continued to expand recently,and gradually become an important industry with vigorous development.With the intensifying competition of the catering industry,the importance of working capital management has become more prominent.However,there are various degrees of working capital management problems in Chinese catering companies.It is imperative to study the working capital management of listed catering companies in China.As the largest Chinese catering brand,with the expanding scale of Haidilao Company since its listing,its capital pressure has been increasing every year.The working capital operating capacity has been decreasing and its financial situation has attracted much attention from the society.Therefore,it is imminent to improved Haidilao's working capital management capabilities.Based on reviewing the current researches of value chain ideas applied to working capital management,this paper sorts out the current status of Haidilao's working capital.It analyzes Haidilao's working capital management level in recent years at the purchase,production and marketing links on value chain from the perspective of working capital classification proposed by Prof Wang Zhuquan.Next this paper explores the problems and causes in its working capital management,then make recommendations for it.It is hoped that this paper can provide practical reference for improving the working capital management of Chinese catering enterprises.