Research On The Asset Divestiture Performance Of Zhejiang Digital Culture

In recent years,the divestiture activities of listed companies have become increasingly active.More and more companies are returning to their core business through asset divestitures,continually shrinking their internal operating lines,and trying to improve the company's performance.Divesne'gtiture can not only bring direct capital inflow to the company,but also optimize the business structure by adjusting the diversification of the company.At the same time,divestiture can optimize resource allocation,improve management efficiency,and provide guarantee for the company's subsequent development.Whether the performance of the company can be improved after the divestiture is a question worthy of our attention.Therefore,this article selects Zhejiang Digital Culture as the research object,and takes the event of Zhejiang Digital Culture assets divestiture as the starting point to study the performance of asset divestiture.This paper summarizes the research results of asset divestiture by scholars at home and abroad,and introduces the related concepts and theoretical foundations involved in the article.Starting from the case of Zhejiang Digital Cultural asset divestiture,this paper introduces the background,motivation,process,results and the necessity of performance analysis of Zhejiang Digital Cultural assets divestiture,and explains the short-term and long-term performance evaluation indicators and methods involved in the performance evaluation.Asset divestiture has brought high divestiture income to Zheshu culture,optimized the business structure of the company,and changed the asset structure and financial structure,and integrated the company's resources,which affected the company's internal operations and its performance in the external capital market.Whether the change brought about by asset divestiture is conducive to the company's strategic transformation and subsequent development needs to be further verified.In order to verify whether the asset divestiture event has improved the performance of Zhejiang Digital Cultural and is beneficial to the subsequent development of the company,this paper analyzes the short-term and long-term performance of the divestiture of Zhejiang Digital Cultural by using the methods of event research,entropy method and catastrophe progression.The analysis shows that the short-term performance and long-term performance of Zhejiang digital cultural assets divestiture have been effectively improved.By analyzing the short-term performance and long-term performance of the divestiture of Zhejiang DigitalCulture,the following enlightenment is obtained:(1)accurately grasp the timing of asset divestiture and proactively carry out asset divestiture;(2)strengthen the management of main business and improve core competitiveness;(3)attach importance to the preparation work before asset divestiture Work with post-spin integration.This paper systematically analyzes the impact of asset divestiture on the performance of this company through case study,and draws the conclusion that divestiture have a positive impact on company performance,hoping to provide meaningful reference for other companies that need to divestiture.The choice of strategic contraction does not mean the failure of business operation.Asset divestiture,as a tool of capital operation in shrinking mode,is just one of the right choices of enterprise development strategy when it is necessary to use it.A reasonable divestiture of assets can help the company to optimize the allocation of resources,reposition the business portfolio of the company,increase the profitability of the company,and contribute to the sustainable development of the company.