Analysis Of Suning OPM Strategy Of Working Capital Management

Working capital management of OPM(Other People 's Money) strategy, refers to the company take full advantage of industry competitive advantage, enhance the bargaining power with suppliers, and suppliers to the company's dependence, will use the Money on the inventory and accounts receivable cost to supplier, at the same time with the supplier of funds to promote enterprise development, to seek to maximize the value of working capital management strategy. OPM strategy in recent years more and more widely applied in various fields, and with the changing of business environment, how to ensure enterprise can succeed in various periods using OPM strategy to maintain stability of working capital has become a new topic.In this paper, based on the perspective of network retail development impact on the OPM strategy, to SUNING COMMERCE GROUP CO.,LTD. as a case, by comparing the SUNING's working capital management performance with the industry average and the same position and GOME electrical appliances of working capital management level. Contrast with the popularity of the Internet, a nd with the rapid development of network marketing, dominated by stores to expand the traditional retail enterprises affected. Network for the retail industry has brought new industry chain, the original shop advantage, bring in down value for the company, some even in virtually increased operating costs. In this case, the traditional retail enterprise use OPM strategy in slowly faded, and the advantages of the traditional retail enterprises have to seek transformation in trouble. In traditional large-scale retail enterprises, SUNING COMMERCE GROUP CO.,LTD. most timely transformation. Based on the viewpoint of OPM strategy operation, its transformation effect is ideal.In addition, for SUNING OPM strategy in different periods using path analysis, the author thinks that the present use of OPM strategy, traditional stores for the king's advantage; In contrast, consumers became the focus of the retail chain. So as a transformation of the traditional retail enterprise, should be reasonable use of the Internet technology, do online complementary advantages, pay attention to the consumer's point of value creation.