Research On Turnaround Mechanism In Declining Firms Of Service Industries

With the changes in the economic, technological, political and competitive environment, companies are facing unprecedented challenges of survival. Many enterprises seize external opportunities and integration of internal resources. However, due to various mistakes in the course of business, some companies have to deal with the performance of a recession caused by a crisis of survival. Many well-known companies have nearly deep slump performance. Most of them are now in operation the brink of failure, but a small number of companies are back to life and become a leader in the industry. Since the performance of a recession is becoming the norm, then what causes the different fates of recession businesses? Why do some companies succeed, some companies fail? Once in the performance of recession, how to reverse the decline in performance decline, to regain competitiveness? The most important issue is to achieve business success in the performance of the internal logic of inversion process is like? These are the current corporate management issues must be faced, but also theoretical research must focus on an important issue.This paper analyzes the present situation of research on the theory and deep thinking reversal of existing enterprises lack inversion theory. Research studies to identify the starting point, and further leads to the purpose and practical significance of this thesis. Briefly describes the main contents of the paper and the basic framework, but leads to the core innovation of this study. In the theoretical basis of theoretical research, leads corporate behavior and mechanism of reversal is the result of combining. Also, the performance of the service sector enterprises recession reverse the status quo, the establishment of the service industry performance evaluation method based on profitability. Combined service enterprises, this paper set up a turnaround mechanism model. To analyze the internal mechanism of the various parts of the model and the mutual relations, and the establishment of a dynamic model of enterprise reversal, behavioral models, reversing the results of the analysis model, process model and a long-term model. In this paper, theoretical research results to the performance of the service sector recession business practice. From the service industry in general and the company of Zhangjiajie, for example, prove the correctness and applicability of the model.After the study, the theoretical part of this paper is the type of corporate crisis starting point for research. By using the crisis matrix model, the research services sector business enterprises into three categories crisis. This paper introduces enterprise asset yield decline as the recognition and reversal indicators, and build a complete reversal of the recession and corporate identification. Return on assets is used to summarize the status quo of China’s service industry downturn listed companies. Based on the Boyne reversal program model, the research builds a general model of modular inversion and reversal mechanism proposed three basic elements of the model. The basic elements of the relationship between the internal mechanisms reflect the mode of operation, which is the reverse process of implementation mechanisms. Starting with the service industry business characteristics, the paper analyzes the dynamic mechanism of reversal of internal factors and external factors. Proposed service industries and enterprises reversed behavioral mechanisms in five basic-oriented, the evaluation of the model and mechanism of enterprise reverse the results. Meanwhile, the paper studies the service sector reversed course mechanism. According to the special situation reversed again after the recession, the research introduces the service sector reversed a long-term mechanism for enterprises and hope to propose new ideas.