Zhongke Jian is a subsidiary of China Academy of Sciences. The company was established not long ago, but less than four years ago. But during these four years, the company has been expanding outward. His business has also expanded from the most basic construction industry to the pharmaceutical industry, real estate industry, new materials industry and so on. Therefore, its outward expansion is very fast, and it has penetrated into various fields.

This makes many people think that Zhongke Jian is a very powerful company, because it has penetrated into various fields, so its functions are very comprehensive. Many companies also cast envious eyes on him, because he has only been established for four years, but he has done such a big business and has been welcomed by the society. Therefore, many people think that Zhongke Jian has unlimited potential in the future and is a new star for future development.

But when you see this, you may have questions. Why did such a potential company end up? Reduced to a debt of 70 billion?

In fact, this problem is easier to understand, because this company mainly relies on borrowing money to expand its business in the process of outward expansion. Moreover, his loan amount is very large, so every time he penetrates into a new field, he needs large-scale financing and borrowing.

And these loans and financing gradually accumulate together, so the amount is very huge. Moreover, after he entered a new field, there was no way to make a profit at the beginning, so there was no way to repay the loan. Therefore, such a vicious circle will eventually lead to a gradual decline in the company's level and a gradual increase in its debt capacity.

Judging from the current data, the company's debt has reached 70 billion yuan. This is definitely a considerable sum. It was precisely because he didn't have much repayment ability that he gradually accumulated deterioration and finally brought the company to the brink of bankruptcy.

Therefore, I think that if a company wants to operate for a long time, it must comprehensively evaluate its profitability. If you have great earning power. Then you can get funds through loans to grow and develop.

If this company does not have the ability to make money and can only make some money by constantly expanding its fields, then I don't think it is necessary to continue to develop further. Because doing so will only make your debt higher and higher, and your profit will be less and less. Therefore, the continuous vicious circle will eventually lead to the enterprise being overwhelmed.

Therefore, both the development of new industries and business penetration should be realistic. Only in line with your actual situation can you have long-term benefits. If it is not in line with your actual situation, blindly expanding your business will only lead to heavy debts.

This is my personal opinion. I hope my answer is helpful to everyone. Friends who like it can like it in the comments section below.