Research On The Influence Of Diversified Operation Of Phoenix Media On Financial Performance

Phoenix media is the leading company in China's publishing industry with strong comprehensive strength and rapid development momentum.Its main business covers publishing industry,issuing industry,printing industry,education industry,game industry,film and television industry,real estate industry,new material industry,etc.Phoenix media has always regarded diversified operation as one of the important development strategies of enterprises.Diversified operation of phoenix media has been carried out as early as the 1990 s and started early,which is representative of the publishing and listing companies.The implementation of diversification in enterprises has a certain impact on the long-term development and financial performance of enterprises.The exploration of the motivation,mode and process of the implementation of diversification in enterprises has theoretical and practical significance for the improvement of internal financial performance and external competitiveness of enterprises.This paper takes phoenix media as the main research object and analyzes the implementation effect of phoenix media's diversified operation and its relationship with financial performance by virtue of its annual report disclosed by the company from 2011 to 2018 and financial data published by Sina financial website.Firstly,performance evaluation indexes were used to make a descriptive analysis of the financial situation of phoenix media.Then,Changjiang media,which is a publishing enterprise with low degree of diversification,was selected to make a comparison.It was found that the diversified operation of phoenix media did not bring better driving effect on financial performance.Then,an econometric model was established to study whether there was a correlation between phoenix media's diversification and financial performance.Through regression equation test,the conclusion was drawn that phoenix media's financial performance declined with the deepening of diversification.Therefore,phoenix media should focus on cultivating core competitive business in its future production and operation,and at the same time,grasp the degree of enterprise diversification,avoid excessive investment,timely adjust enterprise strategy on the basis of not affecting the company's internal organizational framework,and determine the future development direction.The research and analysis in this paper can provide references for the future development direction of phoenix media,enable enterprises to view diversified operation more rationally and avoid blind diversification,and also provide certain reference for other enterprises in the publishing industry to conduct diversified management.