Starbucks Corporate Finance Case Study In Cheng Du

With the deepening of reform and opening up, the rapid development of Chinese economy, the broad market to attract domestic and foreign outstanding enterprises to develop, to compete. The coffee chain Starbucks came to China this tea is a traditional drink of the country, with its new business model, advanced management concepts, quality service, excellent quality to win the good reputation of Chinese consumers and get a huge profit in return, became the object of many chains to follow.In this paper, Chengdu Starbucks nearly five years of earnings is the main object of study. I use the basic financial analysis methods to analyze the company’s financial report for Chengdu, and analyze the other branches of the same company in different regions were compared. I chose the local competitors in the same industry to analyze. Though these analyzes, we can truly understand the paper, to seize the truth hidden behind the report.This paper introduces the theory of Financial Statement Analysis and Starbucks company profile, details of Chengdu earnings in recent years carried out a three-dimensional analysis of financial indicators, DuPont comprehensive analysis, financial matrix analysis. Through a comprehensive and detailed analysis, we found that in the case of sales revenue, net profit and other indicators of growth, value creation revenue growth so far less glamorous. Report showing weaker solvency and profitability of the high proportion of the cost and so on, for further analysis of these issues we draw: cause rapid store expansion funds used is too large, a high proportion of fixed assets, the highest costs high, product variety and structural updates slowly. To solve these problems this paper presents reasonable proposals and prospects for the future.