Research On The Business Model Innovation’s Enterprise Performance Of Xiaomi From The Perspective Of Dual-share Structure

In recent years,with the rise of industries such as networks,cloud computing,and the Internet of Things,as well as the rise of technological innovation,the company’s original business model has been challenged.Continuous business model innovation is the most effective way for enterprises to gain competitiveness in the rapidly changing business competition.However,it is not always successful.Many failed cases can indicate obstacles to business model innovation.In order to address these obstacles,some technology innovation oriented enterprises tend to adopt the dual-share structure.In fact,the academic circles have different opinions on the dual-share structure.Some people believe that the dual-share structure provides founders with sufficient funds and stable control,which helps maintain the company’s early heterogeneous capital investment and long-term development strategy,increase technology investment,and improve the company’s innovation capabilities.Some people also believe that the dual-share structure poses potential threats in terms of founder’s ability,abdication mechanism,agency,and other aspects.Therefore,it is worth considering whether adopting the dual-share structure can achieve the ultimate goal of enterprise business model innovation.What’s more,the performance of business model innovation enterprises also needs to be studied.Based on the above,this article attempts to construct a mechanism between the dual-share structure and business model innovation.Taking Xiaomi Enterprise as the research object,using horizontal and vertical comparison to comprehensively measure its performance.To begin with,it analyzes the older business model of Xiaomi by adopting value theory and nine elements of business model and finds the shortcomings.Then,it considers the specific motivation of Xiaomi for adopting the dual-share structure from the perspective of addressing obstacles.What’s more,it analyzes the impact mechanism of Xiaomi’s dual-share structure on it’s business model innovation based on the previous construction.Besides,it comprehensively analyzes the performance of Xiaomi’s business model innovation by the comparison between financial and non-financial indicators and the comparison with other operations.Last but not least,it summarizes the conclusions and proposes relevant suggestions and the limitations.This article finds that Xiaomi adopts to the dual-share structure in responds to overcome the obstacles to business model innovation.Besides,Xiaomi’s dual-share structure has a positive impact on business model innovation,and Xiaomi has good performance of enterprises.But it is necessary to be cautious of its dual nature due that dual-share structure is a double-edged sword.To some extent,it has broadened the research perspective of business model innovation and may improve the theoretical system of business model innovation and dual-share structure.Finally,in response to the issues found in the study regarding the aspects of operation,competitiveness,and information disclosure,it proposes some suggestions for Xiaomi.It also provides some practical guidance for technology innovation oriented enterprises relate to equity systems and business model innovation.