Research On Early Warning Of Financial Distress For China’s Listed Tourism Company

Economic globalization has brought not only unprecedented development opportunities for China’s enterprises, but also unprecedented challenges. As an important part of the third industry, China’s listed tourism companies are in a high speed development stage along with the rapid growth of China’s economy and the revitalization of the third industry. However, the aura of most of listed tourism companies which have got high-speed development, can’t cover up other companies′difficulty caused financial distress, so it is worthy of researching on China’s early warning of financial distress for China’s listed Tourism Company. The process of worsening or degenerating of corporate health is a transition from quantitative change to qualitative change, if we can identify enterprise financial distress signal by a certain technology method when the company are in financial distress incubation period, make early warning of enterprise financial distress, and carry out corresponding financial distress corrective measures to solve the problems in the initial stage, get the enterprise on the road of the healthy development. It would avoid huge economic losses for the enterprise.At present, research and practice of our country’s early warning of enterprise financial distress basically regard all listed companies as a sample, using common early warning model, with no account taken of the difference of specific industries. Different industry may have a different enterprise characteristics, then,different enterprise characteristics may have different risk features, so the early warning model of enterprise financial distress is designed during the earliest periods,considering the characteristics of the enterprise brand industry, only in this way, can the early warning mode be more practical and effective. In addition, most scholars use a year’s history financial data for the study of early warning, with no account taken of the timeliness and trend of the data. Based on the comprehensive analysis of the theory of early warning of enterprise financial distress, the paper research the survey of the development of the China’s tourism industry and the industry development present situation, proposing the index system of early warning of enterprise financial distress for tourism based on investor perspective. GM (1, 1) of the grey system theory is used to forecast financial data of China’s listed tourism companies. AHP-fuzzy comprehensive evaluation method is used for comprehensive evaluation, to make a Judgment on early warning.