Research On The Impact Of Green Transformation On Enterprise Performance

Over the past few decades,my country’s rapid economic development has been accompanied by increasingly serious problems of resource consumption and environmental pollution.Facing the sharp contradiction between development and the environment,my country is actively seeking the transformation of economic structure and development mode,and green transformation has been included in the national strategy.The automobile industry is one of the most important traditional manufacturing industries in my country.The manufacture and use of automobiles produces a large amount of energy consumption and carbon emissions,which is one of the main causes of global energy and climate problems.Automobile companies need to be green in the entire economy and society.Play its due role in the transformation.This paper takes case analysis as the research method,selects BYD,which has undergone green transformation in the automobile industry,as the case object,and explores the impact of corporate green transformation on corporate performance.It hopes to draw positive conclusions to encourage the majority of enterprises to carry out green transformation,and to provide Its transformation provides some enlightenment.Through literature review,it is found that there are two completely different views on the economic consequences of green transformation in the existing literature.There is a "liability view" that thinks that green transformation is a burden,and an "asset view" that thinks that green transformation brings assets.The divergences among the participants are caused by the differences in specific industries,stages,countries and regions.At the same time,in the research on the green transformation of specific industries,most of the cases are industries with high incidence of environmental problems such as energy industry and heavy industry,and there are few researches on industries such as automobiles.The research in this paper can provide certain supplements.This paper believes that the essence of green transformation for enterprises is to achieve sustainable and stable development while solving energy consumption and environmental pollution.The green transformation of automobile enterprises is mainly through the transformation of products from fuel vehicles to new energy vehicles.Impact on financial and non-financial performance.As my country’s automobile industry is developing towards green and intelligent development,BYD relies on its own technology,market,capital,policy and other foundations to achieve three goals: greening the automobile product system,creating an all-round green closed loop,and comprehensively greening production and operation.Step by step,the green transformation has been completely completed.Through the analysis of the mechanism of green transformation affecting corporate performance,this paper believes that green transformation affects BYD’s financial performance and non-financial performance from four aspects: policy support,organizational reputation,technological innovation,and green finance.According to the path determined by the mechanism analysis,this paper makes a comparative analysis of financial performance and non-financial performance.Finally,based on the analysis results of financial performance and non-financial performance,this paper draws the following conclusions: green transformation has indeed significantly improved BYD’s corporate performance in general,including both financial and non-financial aspects.The specific performance is: in terms of financial performance,revenue has increased significantly,gross profit margin has effectively increased,government subsidies have improved solvency and profitability,and the development of green financing in my country has reduced its capital cost and improved development capabilities;in terms of nonfinancial performance,environmental performance,social performance,market performance,innovation performance and other aspects have been improved.However,it is also necessary to pay attention to the unstable factors of performance growth and gross profit margin.In the process of green transformation,R&D expenses squeeze out net profit,and the profitability is not good.Further attention should be paid to the problem of low transformation efficiency of technological innovation in transformation enterprises.Finally,combined with BYD’s transformation case,this paper puts forward some suggestions for green transformation enterprises.