Case Study On The Financial Risk Prevention Of FZ Import & Export Company

Since the accession to the WTO, China has maintained a rapid and stable economic growth rate. However, behind this prosperous development, we should see that some companies have sank into a high-input, high-debt and low-return dilemma. It is a distinctive contrast between high economic growth rate and low economic operation quality. This situation is closely related to the financial risks such as funds shortage, high rate of assets and liabilities, heavy debts as well as low profitability. Hereby, it becomes an important subject for China's Companies to focus on the financial risk management, and to prevent and solve the financial risk effectively.Based on the theory of financial risk management and the real case of FZ Import & Export company, the thesis consists of seven chapters. In chapter one, the problem is raised up, and the study background, purpose, meaning as well as the latest study information from home and abroad are introduced. In Chapter two, the author makes an all-round introduction to the basic theory of financial risk and financial risk management. In chapter three, the author mainly introduces the status quo about the financial risk management of FZ Import & Export company, and analyzes the problem and cause of this company's financial risk. The priority contents are in the fourth chapter. In this chapter, the author tries to identify, assess and prevent the financial risk prevention system of the FZ import & export company by means of the five factors of financing risk, investment risk, funds operation risk, return distribution risk as well as foreign exchange risk. In chapter five, a financial risk early warning system specialized in FZ Import & Export company is designed and studied via the latest risk early warning theory. In chapter six, the author puts forward the problems and solutions that the risk management system might meet when implemented. Chapter seven concludes the thesis and finds the problems which need further study.The innovation point of this essay is to present financial risk management theory system. And this essay designs the financial risk prevention and early warning system for FZ Import & Export company, putting forward the clue and detailed approaches to establishing financial risk prevention system, which may help FZ company and other corresponding firms standardize the financial risk prevention management for reference.