Research On BYD's New Energy Vehicle Financing Structure Optimization

At present,under the positive effect of a new round of science and technology and industrial revolution,the iterative technological update has not completely solved the potential high-risk factors and high accident rates that have been caused by the lack of energy,the low level of the environment,and the modern transportation that are common in all parts of the world.New energy vehicles are being implemented all over the world,but the decline in subsidies for new energy vehicles is an inevitable trend.In the automotive industry,it is particularly important to provide advanced technical support and adequate funding for new energy vehicles.If government support is gradually declining,then under the current market intensifying environment,the financing structure of new energy vehicle industry companies must be addressed a key question.This article takes BYD Company as a research object,and bases on the classic financing theory and previous scholars' research results on corporate financing.The current outstanding issue of BYD company need to be studied in depth is financing structure.Then put forward the optimization plan of BYD's financing structure,which provides a reference for the development of financing optimization plans for new energy automobile companies.The main findings are as follows:Firstly,the article analyzes the financing situation of BYD in a micro perspective.First of all,it elaborates the overall growth and development experience of BYD company,and considered that BYD company developed rapidly;On the other hand,it focuses on the financing status of BYD company.Through the horizontal comparison of listed auto companies at the same time and the vertical comparison of the development and changes of BYD companies at different times,it analyzes its impact on the company's development from different financing channels.Secondly,the article analyzes the problems existing in BYD's existing capital structure and analyzes the reasons.The existing financing model can not meet BYD's expansion needs well.Considering four aspects of financing method,financing time,financing type and capital market:BYD company prefers debt financing;short debt maturity;mainly relies on short-term debt financing;financing scale is limited.The main reasons for the problems of BYD's financing structure are: short-term debt is more obvious in driving the growth of new energy business;failure to scientifically assess financing needs;imperfect capital market development and limited financing scale.Thirdly,the article proposes solutions and formulates optimization plans.First of all,based on the actual situation of BYD Company,a financing structure adjustment goals was proposed.The static and dynamic structure of the company's financing was taken as a breakthrough,a most reasonable solution was found and verified by a model.It puts forward the optimization plan for corporate capital structure.For instance,adjusting the dividend distribution policy,strengthening working capital management,and rationally adjusting the company's financing channels.Fourth,in order to ensure the smooth implementation of BYD's capital structure optimization program,safeguard measures are proposed from five aspects: system,process,organizational structure,talent,and personnel training.