Research on the Effect of "De Capacity" in Guangdong Furniture Industry under the Background of Supply Side Reform

Abstract

Under the background of increasing downward pressure on China's economy, China has put forward countermeasures for supply side structural reform. Among the five specific tasks of "three deletions, one reduction and one subsidy," the "de capacity" is the top priority of the supply side structural reform. There is a serious mismatch between supply and demand in furniture manufacturing enterprises. The implementation of supply side structural reform is a necessary means to speed up the de capacity of enterprises, reduce financial risks and improve profitability. This paper first expounds the necessity of implementing supply side structural reform in furniture manufacturing enterprises; then, from the perspective of financial statement analysis, constructs financial indicators to investigate the implementation effect of "De capacity" reform of furniture manufacturing enterprises, and analyzes the implementation effect of "De capacity" of supply side structural reform by taking nine listed furniture enterprises in Guangdong Province as research objects. The results show that the implementation effect of "De capacity" in the supply side structural reform of Guangdong furniture industry is significant; finally, the specific measures of "De capacity" for the implementation of supply side structural reform are put forward.