HE Corporate Financial Analysis Based On The Harvard Analytics Framework

As the "Internet+" and 5 G technology continue to advance,traditional appliances have been transformed and upgraded to the field of smart appliances.Under such a competitive environment,scientific strategic positioning is particularly important,the traditional financial analysis is only based on the analysis of the report data to draw conclusions,the analysis is not comprehensive enough,this paper uses the Harvard analytical framework,from the strategic analysis,accounting analysis,financial analysis and outlook analysis four aspects,selected HE company’s financial data for the last three years vertical comparison,as well as the other three representative enterprises in the same industry horizontal comparison,combined with the current home appliance industry overall operating environment facing opportunities and risks,found HE company in the management problems,To its pertinence puts forward the improvement opinion,and hoped can provide the reference for other home appliance company.Based on the strategic analysis,the paper found that HE company clung to the trend of technology renewal and launched "5+7" set of smart home solutions,set up ten R & D centers and home appliance industry groups in the world,set up N innovation centers according to the needs of users,set up a "10 N" innovation R & D system,form a global resource network,and expand the scale of enterprises through mergers and acquisitions.According to the accounting analysis,it is found that HE company’s inventory turnover speed is slowed down and the problem of idle fixed assets is prominent.We should strengthen inventory management,formulate reasonable production and sales plans,strengthen upstream and downstream information communication through improving the construction of industrial chain,and strengthen the management of fixed assets.At the same time,it is found that the proportion of current liabilities is too high,so the capital structure should be adjusted to reduce the proportion of current liabilities,so as to reduce the financial risk of enterprises.Financial analysis shows that HE company’s solvency,profitability and development ability are weak compared with competitors in the same industry,and its operating ability is strong.It should adjust its capital structure,increase the proportion of equity financing,enhance its solvency,and enhance its core competitiveness by saving expenses and increasing scientific and technological research and development.Through the prospect analysis HE it is found that the company should further strengthen the existing R & D advantages,strengthen the R& D of smart home and one-stop home,open up the blue sea.