Performance Analysis Of L Company’s Asset-light Operation Model

In the 1990 s,many internationally renowned sporting goods brands saw China’s huge market prospects,and they went to the Chinese market to lay out and divide up market shares.Competition in the sporting goods market was fierce and profit margins were gradually shrinking.The asset and high inventory business model no longer adapts to the development of the market.As the earliest enterprise in my country’s sporting goods industry to adopt the asset-light operation model,Company L has achieved outstanding results and great success before 2011,and has been recognized by the same industry.Chinese sporting goods companies have learned from it and will The asset-light operation model is applied to its own operations.However,the development of the sporting goods industry stagnated in 2012.Company L’s operations were bleak,lost the attention of consumers and fell into a financial crisis.For this reason,Company L tried to optimize its asset-light operation model to improve corporate performance by adjusting its strategy.Whether the optimization of the asset-light operating model can make the company’s operating conditions turn for the better and usher in a new market spring is the question that this article will study.This article first sorts out the related literature of the light asset operation model,the concept of the light asset operation model and its related theories,and the performance evaluation method of the light asset operation model;secondly,it takes the L company as the research object to clarify the basic situation and the light asset operation model of the L company Based on the structural characteristics,the background of model optimization and the strategic measures adopted,the performance of the optimized asset-light operation model of L Company is analyzed from the financial and non-financial aspects,and the causes of performance are further analyzed.The study found that from the perspective of financial performance,after the optimization of the asset-light operating model of the L company,the profitability has been greatly improved compared to 2015,and it is higher than the industry’s high-quality enterprises,and the operating capacity has shown a steady growth trend,and is higher than the industry average.,The short-term debt repayment ability is good,especially in 2018,the cash reserves are sufficient,the development ability has increased by leaps and bounds in 2016,and has maintained good growth.In terms of non-financial performance,Company L has expanded its sales channels after optimizing the asset-light operation model.Increased R&D investment and improved the supply chain and logistics system.There are two reasons for the performance of L company.The first is to clarify the brand positioning,increase consumers’ attention to the brand,improve the efficiency of the supply chain,and shorten the sales time of goods;second,increase R&D investment to enhance the core competitiveness of the company,To reduce accounts receivable and speed up the turnover of funds.Based on the above analysis,this article puts forward the following suggestions for companies adopting the asset-light transportation mode.First,build brand culture,enhance brand premium capabilities,improve the supply chain system,and create an efficient merchandise sales system;second,focus on developing core capabilities and improving product quality.Optimize the management of accounts receivable to reduce corporate credit risk and the generation of bad debts.It is hoped that the research in this article can provide certain reference value for enterprises adopting asset-light operation mode or transforming to this mode.