Internal Control in the Appliance Industry: A Case Study of Gree Electric Appliances

With the development of reform and opening up and socialist market economy, people's living standards have been greatly improved, and household appliances, as necessities of life, have entered every household. The related enterprises have also developed rapidly, becoming an important industry in modern enterprise architecture. Only with a reasonable and perfect internal control system can enterprises stand out in future development and competition, and can they better manage and govern the company scientifically, implement the company's strategic policies, improve efficiency, and reduce risks. After the release of the 'Basic Norms for Enterprise Internal Control', the development of internal control system in China has become more clear, accelerating the pace of internal control development in enterprises. However, there are many challenges in the rapid development of internal control, and the research results and progress are not enough accurate, making it difficult for related household appliance enterprises to fully utilize internal control.

At present, the international and domestic economic development environment is changing rapidly, and the competition among enterprises is becoming increasingly fierce. The business processes, information systems, personnel management, fund management, risk management, etc. of enterprises are all complex and changeable. The household appliance industry in China has also experienced a period of low tide, but later, with the recovery of the global economy, many single-type household appliance enterprises have developed into comprehensive enterprises. However, the rapid development of household appliance enterprises has also exposed problems in internal control, such as the lack of internal control, formalized operation, and backward internal control concepts of management.

In this context, household appliance enterprises need to attach importance to the development of internal control, establish an internal control system suitable for themselves, and help achieve strategic goals, improve corporate governance, and control financial costs. This article studies the internal control situation of the household appliance industry, repositions the concept, role, and elements of internal control based on the development history of internal control at home and abroad. At the same time, aiming at the problems existing in the internal control of the household appliance industry, taking Gree Electric Appliances as an example, the advantages and problems in its internal control are described and analyzed, providing enlightenment for household appliance manufacturing enterprises to strengthen internal control.