The Financial Strategy Research Of Yonghui Supermarket

With the development of China's economy and the growth of consumer demand in recent years,foreign retail enterprises and domestic local supermarkets all step up to grab market in order to gain more market share.On account of the long business time,comprehensive layout accumulated from high-level administration experience and high reputation,magnates of multi-national retailer have gain a great success.In terms of local supermarkets,they also develop rapidly depending on their grounded operation methods and familiarity of local area.As one of the fastest developing fields of the 21 st century,e-commerce also put much emphasis on supermarket retailing.Jingdong,Yihaodian,Tmall and other e-commerce platform are preying on consumers making use of their advantages on short delivery time and low shop rents.However,under the keen competition in the market,a supermarket called Yonghui established in 2000,has developed more than 580 supermarket chains in 15 years,spreading over 19 provinces.What's more,Yonghui ranked top ten in China's top 100 chain enterprises in 2015,and top five in China's top100 FMCG enterprises.In the development of 15 years,there are some problems with Yonghui supermarket in recent two years,such as dropping retained profits,rising losses in stores and so on.This article means to analyze the reasons of financial problems happened recently from the point of financial strategy.The first chapter of the article will discuss the research background and the research significance,as well as the research content and research method.The second chapter will introduce relevant theory and research status of financial strategy.At the same time this chapter will provide the theory support for the later analysis by sorting out the life cycle theory.The financial strategy adopted during the expansion and operation process and its financial problems will be analyzed in the third chapter.Besides,this chapter will analyze the adaptability between current financial strategy and expansion and development at present stage and the influence on financial capabilityof the enterprise.Next,the fourth chapter will indicate that the Yonghui supermarket is under a period of transformation and under the period of preparation from rapid expansion to steady development on account of internal and external surroundings,life cycles and development pattern of the enterprises.Lastly,the fifth chapter will analyze the method of transforming financial strategy under the direction of the overall financial strategy of Yonghui supermarket.And this chapter will also direct how to flexibly implement specific investment strategy,financing strategy and dividend distribution strategy after transforming to steady development financial strategy.What's more,while making use of steady development financial strategy could bring about the improvement of benefits,operation performance and solution of all financial problems which make the enterprise develop stably will be discussed.Overall,the article explores how enterprises can better make use of expansionary financial strategy during their expansion process and gives advices about this.According to the research and study,this article means to enrich the theoretical significance of steady development financial strategy and provides refences on the management and study for enterprises which are under the rapid expansion stage.Moreover,this article could guide enterprise to select suitable financial strategy,configure financial resources more reasonable to improve their core competitiveness,and make financial management play an effective role by scientific and systematic analysis.Besides,the article assists enterprise on strategy support and provides train of thought for local retail enterprises on financial strategy selection and implementation.