Financial Performance Analysis on the Innovation of Xiaomi’s Profit Model

DOI

10.2991/assehr.k.211209.031How to use a DOI?

Keywords

Profit model; Financial performance; Xiaomi company; Ecological chain; Cost-effective

Abstract

At present, in the era of globalization and the rapid development of Internet services, enterprises are facing the transformation and development of the overall strategic model. For the industry that is closely related to the mobile phone which is closely related to the Internet, it is difficult to find a profit model suitable for its own development, because the definition and method of the profit model itself have a certain degree of ambiguity. Among them, when Xiaomi was established in 2010 to become one of the top 500 companies in China today, it shows that its profit model must be outstanding. Therefore, based on the innovative profit model of Xiaomi, this paper mainly studies the financial performance of the profit model, so as to conclude whether the current profit model adopted by Xiaomi is reasonable and put forward suggestions.The methods used in this article are mainly case analysis and literature research methods to evaluate the financial performance of the ecological chain in Xiaomi’s innovative profit model. The results of the study found that the current innovative profit model of Xiaomi has excellent financial performance, but there will still be some problems such as low gross profit margin and lack of innovation in the ecological chain. Besides, the author also put forward suggestions that can solve Xiaomi’s current problems.

Copyright

© 2021 The Authors. Published by Atlantis Press International B.V.

Open Access

This is an open access article under the CC BY-NC license.

Download article (PDF)

TY  - CONF
AU  - Xingyi Wang
PY  - 2021
DA  - 2021/12/15
TI  - Financial Performance Analysis on the Innovation of Xiaomi’s Profit Model
BT  - Proceedings of the 2021 3rd International Conference on Economic Management and Cultural Industry (ICEMCI 2021)
PB  - Atlantis Press
SP  - 190
EP  - 195
SN  - 2352-5428
UR  - https://doi.org/10.2991/assehr.k.211209.031
DO  - 10.2991/assehr.k.211209.031
ID  - Wang2021
ER  -