International Journal of Research Studies in Management
United Tourism and Hospitality Professionals Special Issue
2024 Volume 12 Issue 14
Available Online: 29 December 2024
Author/s:
Yang, Zhou
Graduate School, Lyceum of the Philippines University – Batangas, Philippines
Abstract:
This study investigated how cost management, digital technology adoption, and financial performance affect the profitability of smartphone companies, using a descriptive research design. The primary goal was to achieve effective cost control in Chinese smartphone firms by examining budget management, optimizing cost structures, and reducing procurement costs. The study also focused on the attitudes toward automation applications, technological innovation, and business model changes in relation to digital technology adoption within Chinese smartphone enterprises. Additionally, it evaluated financial performance based on three key factors: profitability, cash flow, and operational stability. A survey questionnaire was developed and administered to gather data from 402 participants in the industry. Based on the data collected, a framework was developed to support the objective of enhancing the profitability of smartphone firms. The study revealed a significant association between corporate cost management, digital technology adoption, and financial success through quantitative analysis, utilizing Spearman’s rho correlation coefficient. The survey questionnaire served as the primary data collection tool, allowing for the measurement of participants’ views on various aspects of cost management, digital technology, and financial performance. Based on these findings, the study proposed an integrated approach for smartphone firms, emphasizing the alignment of risk management with internal control mechanisms and audit processes. Recommendations included enhancing staff training, improving information and communication channels, regularly evaluating internal controls, and focusing on the rectification stage of audits. The adoption of technology to streamline these processes and foster a culture of accountability and continuous improvement was also suggested. In conclusion, this paper recommends a holistic strategy for smartphone firms, emphasizing the importance of increased investments in automation, technological innovation, and business model adaptation to potentially improve cost management and financial performance. This study contributes to a better understanding of how Chinese smartphone businesses leverage cost management, digital technology adoption, and financial performance to achieve their goal of increased profitability.
Keywords: corporate cost control, digital technology adoption, financial performance, budget management
DOI: https://doi.org/10.5861/ijrsm.2024.1335
Cite this article:
Yang, Z. (2024). Corporate cost control, digital technology adoption, and financial performance: Foundations for a framework to improve profitability in smartphone businesses. International Journal of Research Studies in Management, 12(14), 135-151. https://doi.org/10.5861/ijrsm.2024.1335