Discussion on the development issues of my country’s real estate market? It can be analyzed from the following perspectives: (1) The development process of my country’s real estate market; (2) Real es

Discussion on the development issues of my country’s real estate market? It can be analyzed from the following perspectives: (1) The development process of my country’s real estate market; (2) Real estate

Analysis of Development Trends of Real Estate Enterprises

Foreword

Real estate enterprises are the main body of real estate enterprises in my country, accounting for more than 80% of the total number of real estate enterprises in my country. The real estate development industry is a competitive industry that requires a large amount of funds, occupies a lot of resources, and involves very sensitive housing issues in society. Analyzing the development trends of my country's real estate enterprises is of great significance to promoting the healthy development of the real estate industry and the entire national economy, and even maintaining the stability of the entire society.

1. Research Overview

1.1 History of my country’s Real Estate Development

my country’s real estate industry once disappeared during the planned economy era and was replaced by the welfare unit housing supply system. replace. Since the real estate industry re-emerged in the 1980s and entered a period of rapid development in the 1990s, my country's housing distribution and supply system has undergone fundamental changes, and real estate development investment across the country has also developed rapidly. According to statistics, since 1992, my country's cumulative investment in real estate development has exceeded 5 trillion yuan, with an average annual growth rate of more than 20%; the per capita living area in urban areas has increased from 8 square meters before 1992 to 20 square meters now.

Before the 1980s, no one openly viewed real estate as a commodity, let alone bought or sold it as a commodity. It will naturally not form an industry. Since the Third Plenary Session of the 11th Central Committee of the Communist Party of China, driven by the reform of the economic system, the real estate industry, a huge commodity worth hundreds of millions, has begun to take off and circulate. China in the 1980s

The real estate industry was in its initial formation and development stage and was the first climax of the real estate industry, which clarified the attributes of housing, a major commodity. In the 1990s, the party and government formulated policy basis for the development of the real estate industry in theory and practice. In April 1991, the Central Committee of the Communist Party of China required in formulating the ten-year plan for national economic and social development and the "Eighth Five-Year Plan": "Urban housing construction must maintain a reasonable scale and growth rate, and appropriately accelerate comprehensive real estate development and residential construction. commodification process”. The further deepening of economic system reform has effectively promoted the rapid development of the real estate industry. China's real estate industry has entered the second climax of the commodity economy. The important symbol is that the status, role and significance of the real estate industry in the entire economic development have been prominently displayed. History has entered a new century. With the acceleration of the development of the western region and the close integration of investment environment and laws with international practices after China's accession to the WTO, foreign companies and enterprises will enter our country on a larger scale, especially the entry of foreign-funded institutions. This will help improve the financing environment for real estate development and stimulate the development of the real estate industry. This means that the third climax of the development of the real estate industry has arrived.

The situation is gratifying, but there are many problems and great difficulties. Real estate development is capital-intensive and has a long production cycle, which determines the nature of its large-scale operations. However, most of our country's real estate companies operate independently, operate in a decentralized manner, have weak comprehensive strength, slow development, and poor competitiveness. Moreover, the situation of various development companies is also unbalanced. Generally speaking, the strength in the southeast is strong and the strength in the west is weak. These are extremely unsuitable to the current rapidly developing economic situation and the growing material needs and requirements of the people.

my country's real estate industry has now formed a set of operating mechanisms suitable for the requirements of the socialist market economy, and the entire industry is thriving. So far, there are more than 30,000 real estate companies nationwide, the number of employees in the real estate industry has exceeded 10 million, and a large number of outstanding real estate projects and high-quality real estate development, operation and management talents have emerged. In addition to the real estate development industry, in the past ten years, the real estate intermediary industry, which focuses on evaluation, brokerage, and consulting, and the property management industry, which mainly operates and manages buildings and communities, have gradually formed, thus forming a relatively complete Chinese real estate industry. Industrial architecture system. The real estate industry is booming across the country, and many successful real estate business models have emerged in various places, including successful real estate development, successful intermediary brokerage and successful property management.

1.2 The significance of studying the development trends of real estate enterprises

As my country’s new economic growth point and the pillar industry of the national economy, the real estate industry will face unprecedented development opportunities and challenges in the new century. .

On the one hand, individual consumers have become the main consumer in my country's real estate market. The supply and demand relationship and consumer demand in the real estate market are constantly changing, which has caused intensified competition among domestic real estate companies.

The entire industry has quickly shifted from the "era of huge profits" to the "era of small profits", with profit levels returning to value and the market gradually becoming standardized; on the other hand, after China's accession to the WTO, overseas funds and developers have entered the Chinese real estate industry. The significant reduction in costs will lead to overseas developers to seize the Chinese real estate market, thus forming a global competition pattern in the Chinese real estate market. Overseas developers have rich operational experience, high degree of specialization, advanced management level, strong financial strength, and strong market competitiveness.

With my country's accession to the WTO, large foreign real estate companies will aggressively enter the domestic market, which will bring unprecedented competitive pressure to domestic real estate companies.

Since foreign companies have significant advantages in capital, technology and management, they will inevitably develop better commercial housing with better quality and lower construction costs, and the competitive landscape of the real estate market will undergo significant changes. In order to gain advantages in the fierce market competition, real estate companies must have market crisis awareness, strengthen corporate management, and gradually form the core competitiveness of the company, with high technology, high quality, high efficiency, low consumption, low cost, and brand creation. Only by developing real estate and continuously exploring and occupying the market can the survival and development of the enterprise be maintained.

Therefore, exploring a healthy development path for my country's real estate companies to meet the high-level competition brought about by the global economy has become an important issue facing the domestic real estate industry.

2. Current status and problems of real estate companies

2.1 Current status and prospects of my country’s real estate market

After more than ten years of development, my country’s real estate market has gone through the market The initial stage of marketization has basically completed the marketization process. Today's market shows different characteristics in terms of product supply and enterprise "market type and consumer" products and technological progress. Specifically, it has the following three major characteristics:

From the perspective of product supply and enterprises, the existing real estate market shows the following five characteristics: (First, the price difference of real estate products is expanding, and various grades The reference between prices is reduced, with low prices being lower, high prices being higher, and the overall average price tending to decline; (Second, the marginal profit level of the real estate industry has decreased, due to both market competition factors and capital cost factors, but due to its sales The scale is relatively large, so it is still highly attractive for investment (third, the threshold for capital, technology, brand, land and other industries has been greatly increased, and there is an urgent need for a professional professional team, especially the limitation of land resources, which has greatly increased the cost of entry ( Fourth, the sales speed of real estate projects has slowed down. Although the total market volume has expanded rapidly, government control has become stronger, consumption impulse has decreased, and the sales cycle has lengthened (fifth, increasingly fierce market competition has caused marketing costs to rise, and customer service costs have also increased. With the rising trend, marketing costs have further reduced project profits.

From the perspective of market type and consumers, the real estate market is shifting from survival consumption to investment consumption. With the increasing supply of real estate market products. With the maturity of consumers, the demand pattern of the real estate market and consumer psychology of buying houses are undergoing profound changes. Consumer demand for real estate is shifting from necessities to consumer goods that pursue enjoyment. The function of housing is also changing from the original function of maintaining value to adding value. Expanding to consumption and enjoyment functions. Due to the increasingly abundant product supply, consumers do not have to worry about the rise and fall of housing prices and can make decisions based on their own preferences and needs. However, consumers are not always in such a favorable market. The winner still has to bear the buyer risks and investment risks that must be taken when entering the market. In the process of transition from survival consumption to investment consumption, consumers' demand for improved housing and consumption of real estate are still the core driving force for market development. , but this does not mean that the current real estate market is not hot, because improving people's living conditions is a continuous, long-term process and cannot be achieved in the short term. If all kinds of funds blindly enter the market in pursuit of profits, people will be willing to invest in improving people's living conditions. Excessive overdraft consumption, real estate investment growth and consumption exceed the reasonable limits that the real estate market can accommodate and the reasonable speed that can be tolerated, and the real estate market will produce bubbles.

From the perspective of product and technological progress. , with the advancement of product technology, the real estate market has basically realized product-themed industrialization. In this process, product homogeneity has become the mainstream development trend of the market because the product quality level has generally improved and the products purchased are generally similar. , most people enjoy basically similar living conditions, and people are upgrading their homes at an accelerated pace. Real estate developers use the technical applications of the construction industry and the "building materials industry" to continuously launch new products that are more attractive to consumers. Some phenomena in the electronics industry. As competition becomes increasingly fierce, real estate innovation is no longer simply about applying new technologies, but about maximizing the potential of land resources and meeting consumer needs through integrating and optimizing market factors. In the themed real estate market, the professionalization level of real estate companies has been greatly improved, and the entire industry has made significant progress and become more rational. Developers have mastered the laws and technologies of the real estate industry. Imitation and copying are conducive to the development of the industry, but they cannot guarantee the success of the project. The entire real estate market has shifted from life-and-death competition to resource combination, and parties with different advantages within the industry are seeking common interests. The market for professional consulting agencies continues to expand.

2.2 The current development situation of real estate enterprises in my country

The number of real estate enterprises is large but the scale is small. From the mid-to-late 1990s to the present, although my country's real estate development industry is no longer as chaotic as before, many real estate companies have begun to take shape, and some are quite powerful, the characteristics of being relatively "small, scattered, and poor" have not changed. As of 2003, there were only 349 real estate companies in my country with first-class qualifications.

Real estate companies have low development capabilities and poor economies of scale. Real estate enterprises are very typical capital-intensive enterprises and have the characteristics of high investment, high returns and strong economies of scale. However, most real estate companies in my country are small in scale, have scattered resources, and have low overall development capabilities, which are extremely incompatible with the characteristics of their resource-intensive industries.

For example, there are currently more than 2,000 real estate companies in Shanghai, with average registered capital of less than 20 million yuan and paid-in capital of less than 60 million yuan. The number of real estate companies in Shanghai is large but the scale of development projects is small. Among the city's 82.6751 million square meters of construction area in 2003, the average development area of ??each company was only 33,000 square meters. The total number of real estate companies in the top 100 sales was only *** Accounting for about 4% of the market share.

Real estate companies have high asset-liability ratios and high operating risks. Due to various historical reasons, real estate enterprises in my country generally face the problem of insufficient self-owned funds, and the funds required by enterprises mainly rely on bank loans. At present, the net assets of the largest domestic real estate companies are only a few billion yuan. Compared with overseas real estate companies, which often have billions or tens of billions of dollars, they are far behind. The asset-liability ratio of real estate companies in my country is mostly above 70%, and some are as high as 90%. This excessive debt will inevitably affect the credit standing of the company, increase its financial costs for operating real estate development projects, cause its profitability to decline or suffer losses, and even trigger a chain reaction of negative effects.

Real estate companies have poor credit and do not pay attention to brand creation. Since the profit margins of my country's real estate companies generally exceed those of other industries in society, and because the entry barriers to the real estate development industry are low, a large amount of social hot money has poured into the real estate development industry since the 1990s. These developers have serious short-term behaviors. They have no long-term corporate development plans and do not pay attention to their own credit and brand. Problems such as shrinkage of area, price fraud, poor quality, and delayed delivery of properties often occur. This not only violates the legitimate rights and interests of consumers, but also directly affects the development of real estate companies themselves.

As the basic unit of the modern economy and the basic means of resource allocation, enterprises must meet a series of conditions, such as: the enterprise's property rights must be clearly defined, the enterprise must have sufficient autonomy, and the enterprise must use personal property Or the legal person property has full or limited liability for corporate debts. These conditions are actually what we often call the basic requirements of the modern enterprise system. Judging from these conditions and requirements, China's real estate companies still have many problems and generally cannot meet these requirements well. However, the future development trend of China's real estate companies will largely determine the future trend and development direction of China's real estate market and real estate industry. Both developers and government management departments need to have a certain understanding of these issues and their future development trends. grasp.

my country's real estate enterprise management refers to the entire process management of real estate enterprises from the selection of development projects, the development process to the after-sales service after the completion of the project. Like other enterprises, real estate enterprises are still in a system of talent management and experience management. A team of highly qualified and capable entrepreneurs is the key to the success of real estate enterprises. The quality and ability of entrepreneurs determine the success or failure of enterprise groups to a large extent. Its advantages are: capable people are charming, experienced, intelligent, authoritative and dedicated. Through their tireless work and struggle, they promote the continuous development of the enterprise. However, talented people also have limitations. First of all, the number of talented people is limited. Assume that there are 1 million companies and only 100,000 talented people, which means that 90% of companies cannot find talented people; secondly, there are also talented people. Classification is also divided into specialties, and it is difficult to correspond to various types of enterprises; thirdly, capable people also have their own limitations, such as there is a profound contradiction between personal randomness and the scientific nature of model management. At this time, capable people, In fact, it will become a hindrance to the development of enterprises. Advanced management model is the fundamental guarantee for the long-term stability and continuous development of an enterprise. With a good management model, average-level professional managers can make the company run normally; without a good management model, talented people will be useless; with a good management model, if talented people leave, the company will be shaken. But not seriously injured.

Real estate companies are the main body of real estate companies in China. Current official statistics show that there are nearly 30,000 real estate companies in the country, accounting for more than 80% of the total number of real estate companies in China. The continuous deepening of the reform of China's urban housing system, individual home purchases replacing group purchases as the mainstream of market transactions, as well as China's accession to the WTO and the rapid pace of opening up to the outside world and other internal and external factors have brought unprecedented opportunities and challenges to the future development of Chinese real estate companies. From a macro perspective, the current situation of China's real estate companies is not optimistic, and many problems need to be solved urgently, which are concentrated in three aspects: ownership, scale, and efficiency.

2.3 Problems faced by my country’s real estate enterprises in the development

2.3.1 The ownership nature of enterprises

Although domestic scholars are in full swing and increasingly However, few people have conducted systematic and in-depth research on the problems of state-owned real estate enterprises. In fact, the problems and shortcomings of industrial state-owned enterprises are common to real estate state-owned enterprises, such as soft budget constraints. Agents have internal controls, unreasonable incentive mechanisms, widespread waste of talent and low corporate efficiency. Moreover, due to the characteristics of the real estate industry itself and its increasingly important position in the national economy, it has a greater impact on the growth and fluctuations of the macroeconomy, such as the significant contribution of the real estate industry to economic growth and its pull to the macroeconomy. More and more economists are paying attention to the role that the real estate industry has played in promoting and even destructive effects of major economic fluctuations.

Real estate state-owned enterprises may exit the real estate industry faster than industrial state-owned enterprises. The late 1980s and early 1990s were the early stages of the development of China's real estate companies, with state-owned real estate companies accounting for the vast majority. With the deepening of reform and the development of the market, the proportion of state-owned real estate companies gradually shrank, falling to less than 1% in the mid-1990s. to 50%; by the end of the 1990s and the beginning of this century, the proportion of state-owned real estate enterprises had dropped to more than 20%. However, even if they only account for 20% of the total, state-owned real estate enterprises still have a significant impact on the market due to the huge amount of scarce social resources such as land, talents, and capital they occupy. In addition, if we add most of the collective enterprises and some non-standard joint-stock enterprises - these enterprises are actually similar in nature to real estate state-owned enterprises, that is, the property rights are not clear and the boundaries between enterprises and the government are blurred. In addition, their number is statistically insignificant. It cannot be clearly shown in the data - then the adverse impact of ownership issues on the development of Chinese real estate companies and the constraint on the development of China's real estate industry are even more significant.