Capital Chain Perspective, The Real Estate Enterprise Competitiveness Evaluation And Competitive Strategic Choice

The real estate industry is a highly capital-intensive industry. It can be easily affected by every aspect of capital markets. Because China's inadequate capital markets and the international financial crisis caused by U.S. sub-prime mortgage crisis in 2008, the real estate market in China has been greatly impacted. The shrinking of the capital markets and sales markets brought great pressure of funding chain on most real estate companies. The funding chain of real estate enterprises becomes more and more strained. Some small and medium enterprises even face fatal crisis. Under this background, the paper analyzed the management situation about funding chain of China's real estate businesses, and built the appraisement institutions of competition ability of real estate businesses, and finished empirical study by selecting some representative enterprises, thereby obtained the importance order of influencing factors, and advised different recommendations on competitive strategies to different levels of businesses for reference.The paper described the research background and significance, and proposed the research ideas and methods at first; then overviewed theories about competition ability and competitive strategy on the real estate enterprises of domestic and foreign scholars; next analyzed the flow model of funding chain of China's real estate enterprises, particularly pointing out the managing problems about funding chain; then relying on three aspects (capital reserving, capital using, capital recovering) of funding chain the paper analyzed and determined the evaluation factors on competition ability of real estate enterprises, and built the appraisement institutions; on the basis of analysis about empirical study on six listed real estate companies, the paper obtained the most important factor and the importance sequence of various factors that affecting the competition ability of real estate businesses from the perspective of funding chain, and proposed main competitive strategies of real estate businesses in different levels at last. According to the above research the paper concluded the following results: (1) The importance sequence of those factors is in proper order profitability,financing capability, capital management capability, operating capability of business, financial security managing capability, and finally the ability to grow; to obtain a higher level of competition ability, the real estate business must have a balanced development of its funding chain; (2) the main competitive strategy of the real estate businesses whose position are in the front is the Differentiation Strategy, such as Vanke and Poly real estate; the main competitive strategy of the real estate businesses whose competitive position are in the middle levels is the Optimal Cost Strategy; the main competitive strategy option of the real estate businesses whose competitive position are approaching the last is the Focus Strategy.