Our Country Small And Medium-sized Enterprises Board Listed Company Growth And Financial Risk Correlation Studies

Since the opening of the SME Board,has bringing many chances for the fastdeveloping high-tech SMEs,and the development of enterprise with the help of thisplatform is better.But to the established businesses and those massive strong forces theyare still in the way of growing. Growth is always accompanied by risks, most of theenterprises in the SME market is the development of high-tech industry or emergingindustry pioneer, most of them rely on a core technology to develop new products in arelatively short time to get the fast-growing, but the future is not clear, businesses riskso much larger than the listed companies on General boards. In the early growth stage,these companies often have a high growth rate and the rapid expansion, this kind ofhigh-speed growth comes from high technology and the market trend. Technology rapidinnovation and later the rapid reaction competitor, their advantage may soon lost, andthe investment in the prior period of the market developing in the short term can’t takeback and the risk of new technology itself may make these enterprise financial positionin precarious condition, or big project investment failure may take enterprise intofinancial distress.After the analysis of listed company in China’s small and characteristic of thisarticle respectively, to measure their growth and financial risk, and then explore therelevance of corporate growth and financial risk, Grouping confirmed after discussionswith high growth enterprises are facing high financial risks and low-growth companieswith a low financial risk, by testing these assumptions not established. Relationshipbetween firm growth and financial risk remains to be further explored.