Research on Value Chain Cost Management under Digital Transformation of Midea Group

Huimin Pan; Yuting Wu; Lu Yang

doi:10.71113/JCSIS.2025v2i1.49-60

Authors

Huimin Pan Faculty of Economics and Law, Jingdezhen Vocational University of Art, China
Yuting Wu Faculty of Economics and Law, Jingdezhen Vocational University of Art, China
Lu Yang Faculty of Economics and Law, Jingdezhen Vocational University of Art, China

DOI:

https://doi.org/10.71113/JCSIS.2025v2i1.49-60

Keywords:

digital transformation; value chain; cost management

Abstract

With the emergence and development of digital technologies such as the Internet, cloud computing, artificial intelligence, and big data, the digital economy has become an important tool for leading industrial transformation and economic growth, and digital transformation is gradually becoming a key entry point for enterprises to innovate and enhance competitiveness. In the "14th Five-Year Plan," China sets "accelerating digital development and building a Digital China" as a long-term goal, while also prioritizing the digital transformation of enterprises as one of its key tasks. To respond to the national call and the call of the times, various enterprises have accelerated their digital transformation efforts, treating it as a crucial strategic priority. Through digital transformation, enterprises can achieve real-time decision-making, precise forecasting, improve cost management effectiveness, reduce costs across all links in the value chain, and enhance overall corporate competitiveness. This article takes Midea Group, which has achieved certain success in digital transformation, as a case study to examine the impact of digital transformation on its value chain cost management, providing some reference for enterprises that are currently undergoing or will undergo digital transformation.

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