Research On The Profit Model Of Giant Network Company

A profit model is a systematic approach to identifying and managing the value of business elements and identifying profit opportunities within them,i.e.exploring the sources of profit,production processes and output methods.For both start-ups and established companies that have been in the market for many years,a proven profitability model plays a role in its continuous development.Since the beginning of the 21 st century,the booming development of the Internet industry has made the traditional industry much less developed than before,with advantages such as more flexible employment,easier information gathering and faster expansion compared to the traditional industry.Internet companies can adjust their profit models throughout their operations according to their production methods,business scale,and company strategies,which will help them achieve high-quality development and sustainable profitability.In recent years,all kinds of Internet companies have been mushrooming,and there are problems such as increasing competition and declining demographic dividend.Only stable revenue and sustainable profitability can make a company gain a head start and stand firm in the new economic environment,so it is of practical significance to study the profitability model of Internet companies.As one of the representative Internet companies in the early days,Giant Internet is in the most competitive industry nowadays,and although its earnings are not as good as before,it still shows the resilience of its profitability,but its profit model also needs to be improved.Therefore,this thesis analyzes and evaluates the profitability model of Giant Internet,points out the problems of the profitability model,and then proposes improvement suggestions accordingly,which is important for the company to improve its profitability model and provide reference for other companies in their pursuit of revenue in the future.This thesis selects Giant Networks as the research object,uses the four-factor analysis methods to analyze the current profit model structure of the company,and compares the financial datas of Giant Networks and Youzu Networks horizontally through the comparative analysis methods to analyze the profit model of Giant Networks as a whole.This thesis firstly points out the background and purpose of the study,highlights the significance of the study,the current status of the study of profitability model and the innovation points and limitations,and composes the definition,types,elements and evaluation of profitability model in the four aspects of relevant domestic and foreign research;secondly,it is a review of relevant concepts and basic theories,briefly introduces the concept of profitability model,financial analysis and profitability model components,etc.,which provides the theoretical basis for the later,The analysis of the profitability model of Giant Network is presented again,in which the profitability model of Giant Network is analyzed from four elements: profit point,profit source,profit object and profit barrier;then the traditional financial index of Giant Network is analyzed vertically,and a horizontal comparison analysis is made with Youzu Network in the same industry to evaluate the profitability model from the financial perspective;then,according to the previous analysis,the shortcomings of the existing profitability model of the company are found.Then,based on the previous analysis,the shortcomings of the existing profit model are found,and suggestions for improvement are made based on the corresponding problems: precise layout of diversified business,increasing profit points and enhancing profit barriers,making high-quality content and stabilizing the game market,finding new market entry points and improving the development content of online game products.Finally,a summary and outlook of this thesis are given.