Innovative Application of Target Cost Management in Real Estate Development Projects

In the background of current strengthen macro-economic regulation real estate enterprises are facing new challenges. Consequently, the current real estate development enterprises need effective cost control methods for cost control to adapt to the fierce market competition. This paper draws the following conclusions from the analysis that the stand or fall of cost management is a key factor in the survival and development of real estate enterprises. Cost management is good or bad depending on the magnitude of the cost management method and system of execution. And this paper also presented that according to the characteristics of the real estate enterprise and the management pattern, the real estate development project should be used to expand the connotation and denotation of innovative target cost management method, which contains the market-oriented principle and the principle of customer satisfaction. Based on the combination of theory and practice, this paper constructs the cost management method of real estate development project combined with information technology and target activity cost method, which is in line with the real needs of Chinese's real estate industry to strengthen cost control and provide a good reference. It has a high practical significance.