Research On Financial Strategy Of SF Holding Based On Life Cycle Theory

According to the life cycle theory,the development cycle of an enterprise is similar to the life course of an organism,both of which will experience the process from birth to decline.Financial strategy refers to the long-term strategy made by the enterprise decision makers on the basis of fully analyzing and considering the internal and external factors of the enterprise to ensure the long-term sustainable development of the enterprise.In different life cycle stages,enterprises will be faced with different operating environments and risks,so the development of financial strategies according to different internal and external environments in different life cycle stages can help enterprises develop their strengths and circumvent their weaknesses,so as to better play their competitive advantages.China’s logistics industry started late,but thanks to the rapid development of China’s macro economy and the rise of the online retail market,the scale of the logistics industry has expanded rapidly.By the end of 2021,the total amount of social logistics has reached 33.52 billion yuan.In this context,SF Holding is selected as the research object in this paper.At present,SF Holding is in the growth stage and is gradually transitioning to the mature stage.In this period,the enterprise is about to reach the peak stage of its life cycle.The financial strategy adopted at this stage is crucial for the future development of the enterprise.In this paper,literature research method,case study method and comparative research method are adopted.Firstly,relevant research achievements of domestic and foreign scholars are sorted out and summarized.Then,theories related to life cycle and financial strategy and financial strategy matrix combined with life cycle are introduced to provide theoretical support for the subsequent research of this paper.First,the internal and external environment of SF Express is introduced,and then it is determined that SF Express is currently in the growth stage.Based on this,the financial data of SF Express from 2016 to 2021 are analyzed and studied.It is found that SF Express adopts stable growth financing strategy,expansion investment strategy,conservative working capital strategy and defensive dividend distribution strategy in the current stage.And the financial strategy adopted is basically consistent with the characteristics of growth period.But there are also the following problems: in terms of financing strategy,the financing pressure is large,there is a certain risk of debt repayment;In terms of investment strategy,new businesses take effect slowly,affecting the profitability of enterprises;In terms of working capital strategy,the turnover rate of accounts receivable decreases greatly,which affects the operating capacity.In view of the above problems,this paper puts forward optimization suggestions: in terms of financing,expand financing channels and reduce debt repayment risk;Investment to accelerate penetration of business growth points,improve business profitability;In terms of working capital,optimize the management of accounts receivable and improve the operating capacity.Finally,the conclusion is drawn and the prospect is put forward,in order to provide reference for the financial strategy formulation of logistics industry enterprises.