Financial Comprehensive Analysis Of S Company Based On Harvard Analytical Framework

With the development of China’s economy and the improvement of people’s living standards,people begin to pay more attention to physical exercise,and the demand for sports equipment is also increasing day by day.at the same time,in recent years,the national policy to support the sports industry is frequent.China’s relevant support policies in the fitness equipment industry are constantly improving,and the development prospects of the fitness equipment industry are broad.Sports equipment this light industry has ushered in a period of rapid development,sports equipment enterprises also pay more attention to their own financial management level,but these enterprises usually make a quantitative analysis of the financial statement data.Such a comprehensive financial analysis report only lists the data,causing aesthetic fatigue to the data users,and the report itself lacks gold content.With the expansion of the enterprise scale and the rapid change of the external market,the hidden dangers of financial risks are also intensifying.Under the new situation,enterprises are required to conduct a comprehensive financial analysis and improve their financial decision-making level.Taking s company as the research object,It is found that in the current comprehensive financial analysis,s company mainly focuses on the analysis of the relevant financial statements and data,while the detailed analysis of the environment and the development of the enterprise is almost blank,therefore,s company can be based on the Harvard Analysis Framework for financial comprehensive analysis.Harvard analysis framework mainly includes four aspects of analysis,namely,strategy,accounting,finance and prospects.At the level of strategic analysis,based on the strategy of S company,using PEST analysis method,Porter’s five forces model and SWOT analysis model to analyze the current situation of the enterprise,it is found that S company has excellent production capacity and OEM advantages and obvious expansion momentum in this promising but highly competitive industry.We have put forward some suggestions on adhering to the growth strategy and opening up market segments.At the level of accounting analysis,through the understanding of the important accounting policies and accounting estimation methods of S Company,and the analysis of accounts receivable,inventory and fixed assets which have important influence,it is found that the proportion of the three items is too large.There are certain risks,suggestions on strengthening the management of accounts receivable,improving the level of inventory management and reasonable purchase of fixed assets.At the level of financial analysis,through the analysis and comparison of the financial data of Y company in the same industry from 2018 to 2020,we can see that S company has good operating ability,profitability and growth,but its solvency is weak.so the suggestion is to optimize the cash flow to improve the solvency.At the level of prospect analysis,through the previous three kinds of analysis combined with the internal and external environment,this paper puts forward some suggestions for the development of the enterprise,such as improving the research and development capability,accelerating the transformation from traditional manufacturing to the integration of operation and service,following the policy,and adjusting the product structure and product characteristics in time.The research results of this paper can help S Company to make clear its own direction in the future development,make use of its own advantages to open up the market,and expand the application of Harvard framework theory in the sports equipment industry.