Gw’s Financial Analysis Based On The Enterprise Competitiveness

Information technology is the significant driving force for economic and social development of today’s world. Electronic component manufacturing industry is the basic sector supporting the development of electronic information industry. Currently, China’s electronic component manufacturing industry has been integrated into international industry system and has become part of the world’s electronic information industry chain. The development of China’s electronic component manufacturing industry is not only restricted by its domestic economic situation, but also influenced by the world’s electronic information industry and the development of infra industry trade. With the rapid development of new technology application, we will see a more speedy acceleration in global vertical specialization and industrial transfer of electronic component manufacturing industry, and will also see a more severe competition of the industry. As one of the Top 100 Companies of China’s Electronic Information Industry, GW Company, similar to its counterparts in China, is facing the problem of how to enhance the company’s competitiveness and to consolidate and expand the company’s competitive advantage in the sharp competitive environment.Focusing on company competitiveness from the perspective of finance is the new realm of research on competitiveness. The concept of financial competitiveness is a financial innovation based on the theory of company core competitiveness and the perspective of managerial economics. Many company decisions are made based on financial data. The analysis of financial data can help a company to rationalize decision-making, correct decision choice and improve overall competitiveness. Taking GW Company as the research object with its financial data of the past 3 to 5 years as research basis, and using the logical framework of Harvard’s financial analysis, this paper, spreads from three parts – strategic analysis based on business environment, accounting analysis based on accounting policy and accounting estimate reliability, and financial analysis based on competitiveness indicators. Among the above three parts, financial analysis analyzes and evaluates the Company’s management quality from perspectives of profitability, solvency, operation capacity and development competence. By vertically comparing with development trend of historical data and horizontally comparing with financial indicators of peer benchmarking companies, this paper intends to find out the major problem and gap of the Company. By analyzing the factors of possible improvement, referencing to successful management method of advanced companies, taking short term and long term into account, this paper summarizes four measures of enhancing financial competitiveness. By doing so, the author hopes that this paper can help the Company to make good use of its advantages, fill the gap, enhance its financial competitiveness and consolidate and expand its competitive advantageThe author of this paper, by conducting the analysis and raising the suggestions in this paper, hopes to make a modest contribution to the development of GW Company or other electronic component manufacturers.