Research On The Impact Of Business Model Innovation Of Short Video Platform Companies On Financial Performance

As a new way of life entertainment,short video has changed people’s lives in all aspects of clothing,food,housing and transportation.Nowadays,the economic situation is complex.In order to further develop the market,short video platform companies must adjust their operation strategies and innovate their business models on the basis of following their own enterprise development laws,so as to obtain more economic benefits.Financial performance,as a comprehensive reflection of the company’s operating conditions,is bound to be affected by the innovation of business models.Therefore,it is necessary to study and analyze the impact.This paper takes "Kwai Company" as the representative enterprise of the short video industry,and takes its financial performance status as the entry point to deeply analyze and compare the financial performance before and after the business model innovation.First,On the foundation of business model canvas theory and value co creation theory,this paper analyzes the business model innovation of Kwai companies from value proposition,value creation,value transmission,and value acquisition,and finds out the status quo of their financial performance after business model innovation according to their financial statements;Secondly,through Du Pont analysis method and contrast the financial measures method,the return on equity of core financial indicators is disassembled and analyzed,and the solvency,operating ability,profitability and development ability of Kwai are compared horizontally and vertically.We can get the adverse impact of its financial performance after commercialization;After that,based on the above analysis results,We put forward policy suggestions;Finally,based on the previous analysis,we further draw a summary of the research conclusions,and discuss the limitations of the paper and the expectations for the future.Through research,this paper finds that: for short video platform enterprises like Kwai,the key to user value creation needs to adjust the business scope to meet the diversified needs of users.It has further its value creation expansion.With the two research methods in the article,the results show that the innovative business model of Kwai companies has indeed improved their profitability,enhanced its development ability,and reduced its financial risk.Therefore,in order to continue to commercialize,short video platform companies must focus on the three links of channel,business and cost,comprehensively and comprehensively analyze the company’s profitability,and promote enterprises to gradually move towards marketization.