Comparison of Financing Models of Chinese Real Estate Enterprises: Vanke and Poly Development as Examples

In recent years, with the booming of China's economy, the real estate market is heating up and the real estate industry has become a national pillar industry for the whole country. Therefore, it is important to study as well as investigate the financing models of real estate enterprises in order to understand the business flow. To be specific, this study uses literature, case studies and surveys to analyze as well as evaluate the features based on the financial statements of Vanke and Poly, such as capital structure, solvency, profitability, operational capacity and growth capacity, which are two giant and typical corporation of China real estate industry. On this basis, this research then explores the implications for other real estate companies' financing models based on the analysis results. Accordingly, suggestions are given following the analysis. Overall, these results shed light on guiding further exploration of contemporary real estate financing and development.