Research On Suning Tesco's Working Capital Management Based On Supply Chain

A good working capital arrangement can,on the one hand,provide an organization with the most favorable prices in all aspects of procurement,production,sales,etc.,and on the other hand,it is also an important indicator for measuring the short-term solvency of companies and their ability to continue operating.Traditional working capital management tends to study the impact of three elements of inventory cash,inventory,accounts receivable on working capital risk level and profitability from a single project,ignoring the overall strategy of the company.Therefore,it is necessary to combine the theory of working capital management with the theory of supply chain to solve the inadequacy of the traditional working capital management not linking upstream and downstream companies.Because of the features of low-cost,high-efficiency,variety,and simple purchase,e-commerce companies are booming in this emerging economic model.In view of this,this article conforms to the evolving trend of e-commerce companies,based on the supply chain theory,combines the e-commerce operation mechanism with the operation mechanism of supply chain management,and aims to improve the management of e-commerce companies' working capital.At present,most scholars have explored a new approach to the evaluation of working capital management.This article will use the supply chain theory as a guideline to combine the case studies of Suning's e-commerce and explore the current business model to better illustrate the current status of corporate operating funds management.And the status of supply chain management.It further analyzes its working capital turnover capacity from a qualitative and quantitative perspective,discusses its relationship with suppliers and customers in the procurement sales channel through working capital management,and analyzes its purchase and credit policies.Finally,this article will provide some suggestions on how to improve the working capital management level of e-commerce companies by strengthening supplier strategic cooperation,integrating online and offline supply chain platforms,renovating offline stores,and optimizing logistics distribution and installation services.