Research On The Motivation And Effect Of The Implementation Of The Dual Main Business Mode Of TONGWEI CO.,LTD

With the development of economy and the intensification of market competition,diversification has brought new profit growth points for many enterprises.But at the same time,diversified business has also led to the hollowing out of many companies’ main businesses,difficult to sustainable development.In this context,many listed companies in traditional industries have explored a way not only to expand the market,but also to avoid the hollow of the main business,which is the "dual main business mode".As the name implies,an enterprise implementing the dual main business mode has two main businesses,which run side by side,and both of them contribute to the business performance.Compared with the traditional diversification strategy,the dual main business mode has certain advantages.However,the two main industries span different industries,and there is no obvious tendency of strategic resource investment.Therefore,it is particularly important for enterprises to effectively integrate related resources in the two main industries and maximize the overall benefit.This paper takes the implementation of the dual main business mode of Tongwei Co.,Ltd as an example to explore the strategic measures taken by the enterprise in the integration of the seemingly unrelated main business of "Agricultural industry and photovoltaic industry".From the perspective of resource integration,this paper studies the influence path of enterprise resource integration on the financial and nonfinancial results,and makes relevant verification.After an introduction to the basic situation of the enterprise and a reasonable definition of the dual main business mode,this paper firstly analyzes five main reasons for the implementation of the dual main business mode of Tongwei Co.,Ltd: limited agricultural development;high risk under single business;photovoltaic industry has a good development prospect;the group’s photovoltaic industry is in urgent need of capital support;"Fishing and light integrated" business mode development needs.Secondly,from the perspectives of financial resource integration,management resource integration and business resource integration,this paper analyzes the impact path of implementation of the dual main business model on the business effect.Finally,through the analysis of relevant financial performance and non-financial performance,this paper verifies the impact of resource integration on business effect under the dual main business operation model.Through case analysis and research,this paper draws relevant conclusions about the effect of the implementation of the dual main business mode of Tongwei Co.,Ltd based on the previous theoretical basis and the research results of practical cases.(1)In terms of financial resource integration,Tongwei Co.,Ltd improves its internal capital structure and optimizes its fund allocation system,which optimizes its indicators in terms of debt paying ability,profitability and growth ability.(2)In terms of the integration of management resources,by giving full play to the entrepreneurial spirit,upgrading the business division management and financial system,and integrating the sales staff,the dual main business mode is conducive to the cost control of the enterprise,the improvement of employee efficiency and the ability of product innovation.(3)In terms of business resource integration,through the integration and development of "fishing and light integration",the implementation of low-cost industrial chain development,and the integration of industrial layout,the dual main business mode has a positive promoting effect on cost control and optimization of capital market performance of enterprises.