Research On Improving The Financial Performance Of Future Education Under The Background Of "Double Reduction" ——Based On The Harvard Analysis Framework

The education and training industry has better development prospects and higher economic returns.More and more investors choose to enter the education and training industry.In order to gain a certain market share in the fierce market competition environment,the company must have a competitive advantage over other companies,and must effectively manage the company to achieve sustained and stable development.With the improvement of my country’s industry laws and regulations and the continuous emergence of competitors in the industry,especially the promulgation of the "double reduction policy",education companies that mainly operate K12 businesses are subject to greater restrictions and face greater challenges.How to educate enterprises to gradually develop toward compliance and to comply with current policy guidance,on this basis,to improve economic efficiency and enhance competitive advantages is a problem that needs to be solved urgently.Compared with traditional financial analysis,the Harvard framework can combine quantitative and non-quantitative indicators to make the results of the analysis more realistic.Therefore,this article will conduct a comprehensive analysis of TAL,a large enterprise in the education industry,based on the Harvard analysis framework,based on the financial information of the TAL Group from 2016 to 2020,based on the group’s future transformation and development strategy,corporate assets,Analyze the financial level and the problems in the transition process,draw conclusions and propose corresponding adjustment strategies for the company,and provide reference for other companies in the same industry.The article is divided into the following parts:First,sort out the research results of financial analysis theory by domestic and foreign scholars,and then compare the advantages and disadvantages of traditional financial analysis theory and the Harvard framework,and draw the conclusion that the Harvard analysis framework is a more comprehensive and advanced analysis framework for modern financial analysis.Financial analysis lays the theoretical foundation.Secondly,it analyzes the general situation of TAL,the current situation of internal operation and external policy environment,and then conducts a specific analysis of the future financial status of education in accordance with the four aspects of the Harvard framework.The first part of Harvard analysis is strategic analysis.Use the SWOT analysis model and the competitive strategy triangle model to conduct a qualitative strategic analysis from the four perspectives of TAL’s strengths and weaknesses,opportunities and threats,and summarize TAL’s transformation strategy in the context of "double reduction";the second part is accounting analysis.Analyze the assets,liabilities and owner’s equity structure of Future Education;the third part is financial analysis.Mainly analyze the financial indicators from four aspects: solvency,profitability,operating ability and growth ability;the fourth part is prospect analysis.Combining the aforementioned strategic,accounting and financial analysis results to comprehensively analyze and evaluate the prospects of the company and the industry.Finally,the research conclusions of this article are drawn.As a leading domestic education and training company,TAL has maintained a good level of debt solvency and operating capabilities,and its cash flow is relatively sufficient.However,due to high costs and poor profitability,it is necessary to continue to pay attention to profitability.In addition,companies have taken active countermeasures to resolve the risks brought about by the promulgation of the "Double Reduction Policy".It can be seen that TAL can only achieve sustainable development by implementing a series of transformation strategies to deal with the risks caused by changes in the policy environment.