Financial Analysis of Electronic Commerce Enterprise M Based on Harvard Analytical Framework

Abstract

This paper analyzes the financial situation of a Chinese electronic commerce enterprise M based on Harvard analytical framework. Strategic analysis, accounting analysis, financial analysis and prospect analysis are involved in the studying of M company's operation and management. In strategic analysis, this paper discusses the competition scale and industrial attraction in current Chinese electronic commerce market from the perspective of supplier, purchaser, potential competitor, substitute and existing player. SWOT analysis is also used to explore M company's strength, weakness, opportunity and threat. In accounting analysis and financial analysis, this paper compares the financial figures of three electronic commerce enterprise including M and appraises M's operation from the perspective of debt-paying ability, profitability and operational capacity. Prospect analysis makes reasonable prediction of M company's potential risks and development prospect. Finally, comprehensive evaluation and strategic suggestions are given for M.