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Profitability Analysis in the Chinese Home Appliance Industry: A Case Study of Midea Group

Year: 2025
Type: article
Abstract: Taking Midea Group as an example, this study conducts an in-depth analysis of its profitability. Given the crucial significance of profitability for enterprise development and stakeholders' decision-making, and considering the fierce competition in the home appliance industry, an in-depth study of Midea Group's profitability and its influencing factors can provide an important basis for its strategic planning. This study examines Midea Group's profitability using DuPont analysis and comparative models, highlighting its strengths and areas for improvement. Indicators such as net profit margin, return on assets, and return on equity reveal Midea Group's competitive advantages, including strong revenue and diversification, but also identify challenges like low asset turnover and increasing market competition. Recommendations are proposed to optimize capital structure, improve operational efficiency, and enhance international market presence. This research contributes to the theoretical profitability analysis system and offers actionable insights for industry stakeholders.
Author: Yi Wei
Language: English
Subfield: Accounting
Open Access status: hybrid
OpenAlex ID: W4409210751
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