Research On The Impact Of Greentown China’s Asset-light Transformation On Financial Performance

With the continuous development of urbanization in China,and the people’s demands and demands for housing are increasing day by day.At the same time,under the New Normal economy,"stabilizing growth,adjusting structure and promoting innovation" is the normal trend.The real estate industry in China has entered the era of black iron,gradually shifting from manufacturing to service industry.In the severe market situation,major real estate enterprises have begun to transform to adapt to the new situation and form their own competitive advantages in the Red Sea market.As a large real estate enterprise,Greentown China inevitably faces industry shocks.Therefore,in 2015,Greentown China proposed a comprehensive transformation to further accelerate the light asset transformation.This article takes Greentown China as the research object,and as a successful real estate enterprise in the light asset transformation,Greentown China has typical characteristics.This article uses case study and comparative analysis methods to conduct research.Through organizing relevant literature,we understand the relevant concepts and theories of light asset transformation in real estate enterprises,and summarize the path of light asset transformation in Greentown China: industrial chain extension,digital technology application,and entering the financial field.This article combines the background of the real estate industry and the development process of Greentown China to elaborate on the necessity and urgency of the light asset transformation of Greentown China.This article analyzes the mechanism of Greentown China’s light asset transformation and financial activities,indicating that the light asset transformation has a positive impact on Greentown China’s financial activities.Finally,by comparing financial indicators horizontally and vertically,the financial results are analyzed,and the conclusion of this article is drawn:(a)After Greentown China implements the light asset transformation,the asset quality has improved,and the proportion of light assets gradually increases.(b)Although the light asset transformation enhances the short-term debt repayment ability of enterprises,it is still affected by various factors,and the asset liability ratio of Greentown China remains high.(c)The transformation of light assets has significantly improved operational capabilities.The case analysis results indicate that the light asset transformation of Greentown China has a significant improvement effect on the financial performance of enterprises.After implementing the light asset transformation,Greentown China’s financial performance is more stable and its management is more reasonable and standardized.