Analysis Of The Causes And Performance For The Divestiture Of China Resources Enterprise

In recent years,diversification has become the main means of corporate development strategy.Diversification can expand the company's scale in a short period of time and attract many companies.However,after many companies implemented the diversification strategy,there was a situation in which the main business was not prominent and the performance was declining.Therefore,as a way of corporate strategy tightening,asset divestiture has gradually become an important means of strategic transformation.This paper tries to explore the motivation and performance of the company's asset divestiture.Select China Resources Enterprise as the research object,and use the various research methods to analyze its motivation and performance for the event that China Resources Enterprise divested non-beer business in 2015.Firstly,combined with theoretical knowledge,this paper analyzes the reasons for the divestiture of China Resources Entrepreneurship from the aspects of resource management level,company diversification and company value.Then,this paper uses multiple indicators to analyze the performance of China Resources Enterprise from two aspects of market performance and financial performance.Through analysis,this paper finds that the company's asset divestiture may be to improve the asset management level,reduce the company's diversification and increase the company's value.It was found that asset divestiture can indeed improve the profitability and corporate value of enterprises.There are certain commonalities in the divestiture of assets.By analyzing the divestiture of China Resources Enterprise,it will provide some help for other companies to implement the asset divestiture plan.