Research On The Performance And Problems Of Business Model Innovation Of Science And Technology Enterprises

The innovation of business model is a hot topic in science and technology industry.Xiaomi group is an innovative technology enterprise focusing on the construction of smart phones,smart hardware and the Internet of things,which was founded in 2010.In 2017,the business model of Xiaomi was innovated as "hardware + new retail + Internet".As a result,this paper takes Xiaomi group as an example,starting from the business model of "hardware + new retail + Internet",based on resource dependence theory,diversification theory and enterprise network theory,adopts the research methods of literature research,case study and event study,as well as qualitative analysis and quantitative analysis to explore the motivation of business model innovation;the financial and market performance of business model innovation;the problems in the process of business model innovation.Finally it conclude that Xiaomi has opportunities and advantages in business model innovation,in which hardware,new retail and Internet are mutually promoted;the innovation of this business model has good financial performance,but poor market performance;the problems of this business model are product quality problem and cash flow problem brought by low-price strategy;insufficient R &D investment lead to insufficient core competitiveness and slow layout of the Io T;low market valuation due to the small proportion of Internet business and reputation risk due to false Internet advertising.Then gives suggestions: Firstly,accelerate the construction of the Internet of things and attention to warranty costs and cash flows from operating activities.Secondly,increase investment in R & D and improve product quality.improve the value creation of unit customers,accelerate the mutual diversion between various sectors and reduce the cost of customer acquisition;Thirdly,deepen Internet services and seek for incremental market.Effectively manage the security issues in the internet advertising.improve the user experience and use algorithms to improve the efficiency of Internet advertising.