Research On BYD’s Profit Model And Its Influence On Performance

With the increasing popularity of the concept of environmental protection,the way of energy utilization is also undergoing significant changes.The new energy with the characteristics of clean,efficient and environmental protection has gradually developed into the main energy in the energy structure,and has important applications in many fields.In the traditional automobile industry,the burning of energy fuels such as coal is the main driving force for vehicle operation.With the promotion and popularization of new energy,the application of new energy automobile enterprises to new energy has gradually become the focus of attention.The selection of corporate profit model and corporate performance can reflect the operating model and results of an enterprise from many aspects,and different profit models will have different performance.Therefore,by studying the profit model and enterprise performance selected by representative new energy automobile enterprises,the characteristics of some new energy automobile enterprises in profit model selection and performance can be found.The enlightenment and problems obtained from this will provide certain reference and guidance for the development of other new energy automobile enterprises of the same type.As one of the leading enterprises in the field of new energy vehicles,BYD occupies a large share in the domestic market,and its development has driven the development of the whole industry to a certain extent.This paper selects BYD Company,a new energy automobile enterprise,as a case,and uses literature research method and case analysis method to analyze,discuss and evaluate the profit model and performance of BYD Company from different angles.First of all,it describes the status quo of the research on profit model and performance,and further expounds the methods,research framework,research purpose and significance applied in the case study.At the same time,by summarizing the domestic and foreign research on profit model and enterprise performance,the relevant concepts of new energy automobile industry,profit model and enterprise performance are obtained.Secondly,by studying the enterprise environment background and five factors of the profit model of BYD,the content and characteristics of BYD’s profit model are further obtained.BYD has a unique profit model.Its profit targets are diversified,involving private customers,enterprise customers and the government.Its abundant new energy vehicles under its dynasty network are its important profit points,and its profit sources are wide.Three parallel network systems,Ocean Network,Dynasty network and high-end sales network,serve as the profit lever,and its complete power battery industry chain constitutes a strong profit barrier.Thirdly,by exploring the financial performance and non-financial performance of BYD Company under this profit model,and starting from the traditional financial performance index,economic added value analysis,technological innovation performance,marketing performance and social responsibility performance,the comprehensive analysis draws the conclusion that under the influence of this profit model,BYD Company has a fast capital turnover speed,reasonable enterprise capital structure,innovative business marketing model and good brand image.At the same time,it is found that if new energy vehicle enterprises want to further improve their performance,they should reduce the proportion of costs and expenses as much as possible,improve the quality of research and development investment,and enhance the market share of new energy vehicles by various means.In terms of ecological and environmental protection,attention should also be paid to controlling total greenhouse gas emissions.Through the above research conclusions,it is hoped to provide reference for other new energy automobile enterprises of the same type,to encourage other new energy automobile enterprises to choose the appropriate profit model,and to maximize the improvement of enterprise performance.