Research On Huace Group Business Model Based On Financial Perspective

The report of the 19 th CPC National Congress proposed that the cultural construction in the new era should aim at building a strong socialist cultural country,adhere to the path of socialist cultural development with Chinese characteristics,and stimulate the cultural innovation of the entire nation to create vitality.The cultural industry will be built into a pillar industry of China's national economy.This created policy conditions for the development of the film and television production industry,an important part of the cultural industry,and brought new opportunities.In 2016,due to the high premium of the head plays,the payment model of video site members increased and the cash flow increased,the drama industry has played an unprecedented positive role both in content production and capital market.At present,the demand for cultural products in our country has maintained a steady growth.Under the tide of consumer upgrade,users' awareness and willingness to pay have increased substantially.The improvement of cultural consumption has increased the demand for high-quality video and entertainment products.The film and television industry in China is now in the golden age of "high-quality content-driven".In China's film and television industry,Huace Group belongs to one of the best,known as "the first unit of drama." Its business model has a good reference for China's film and television industry.Based on the annual report data and industry data,this paper analyzes the external environment and profitability of the company.Emphasis is put on the business model based on financial perspective,and the business model under the three financial dimensions analytical research.At the same time,it discusses the shortcomings and risks existing in the business model under the current financial dimension of Huace Group,and puts forward countermeasures and suggestions for further improvement and optimization.By studying the business model under the financial perspective of Huace Group,it concludes that the business model under the three financial dimensions of Huace Group has been generally successful,forming a driving force in both the profit-driven and value-creating dimensions.In the resource allocation dimension it's also reasonable,and consciously get better development.The company's size and operating income are steadily increasing.However,under the circumstance of intensified competition in the industry and increased business risks,the business model of Huace Group still needs to be improved,the accounts receivable and inventory accounts for a high proportion,the rapid growth of costs and the excessive concentration of main businesses need to be resolved to get better development.This research can optimize the future management of Huace Group,and provide ideas for film and television companies on how to reduce the risk,improve the enterprise performance in the face of intense industry competition and strict policy supervision,and how the government plays a leading role in the industry standardization.At the same time,this article studies the business model from the perspective of finance.It also practices and explores new ways of study on the business model,contributing to the similar research in the future.