Financial Risk And Control Of Information Industry’ Listed Company

With the changes in customer’s demand and fierce competition in the market accelerated, risk management has become one of the important issues facing enterprises. Enterprise risk management experienced the traditional risk management phase, modern risk management phase, and from the early2000s it began to enter the comprehensive risk management phase.2000Internet bubble and the new economic policy made some famous companies of United States such as Enron, Xerox, Merrill Lynch and other financial scandals erupted, these events exposed that even good business there are also many risks. The complexity of modern economic system amplifies the risk of harm, intricate ties between various risks, and the enterprise risk management capacity is obviously insufficient. As a most direct and quantifiable performance of business risk, financial risk’s evaluation and control has become an important research subject of scholars.In various reasons causing bankruptcy, financial problems causing the corporate crisis or even bankruptcy are common to see. Enterprises in financial difficulties may be for many reasons, for example, the operator may be making mistakes, it could be managed out of control, in addition, the external economic environment and corporate financial policy changes is also one cause of the problem. Enterprises are facing a variety of financial risks, financial risks is not necessarily the financial crisis, but the financial crisis must be the financial risk is the result of the financial risk not effectively predicted and monitored. Therefore, these measure---the company’s financial risk prediction and analysis, do a good job related monitoring work, the establishment of targeted financial risk control system, deal with the complex and volatile market environment and latent aspects of enterprise risk management---are essential for reducing the losses caused by the financial risks and it has very important significance.In financial risk study, there were many evaluation and analysis of financial risk literature, but the research that linked the internal control to financial risks is relatively small, and, because of China’s securities market development time is shorter, the number of ST enterprise data was a little small. And previous studies on financial risk did not take into account the data of the selected industry characteristics, but focused on the financial risk prediction accuracy. In addition, from a financial risk and control literature, most of the studies chose manufacturing as the research object, which contains the information technology business, this paper argued that, information technology companies are high-tech enterprises, product replacement fast, funding and technology-intensive, high fixed costs and low variable costs, fixed assets, intangible value is higher than the value of high R&D levels and other characteristics follow the imitation effect should coexist with the traditional manufacturing industry makes its presentation in the financial aspects of different characteristics, Jiangyi Tao "Cox model based on industry differences in financial distress,"a paper industry factors also verify the degree of influence on the financial risks, financial risks that should be considered". In this context, the paper listed companies of IT2008-2012financial data as samples, through simple classification of information technology company listed on the level of financial risks, and choose indicators on profitability, operational capacity, capital structure, solvency and earnings quality to establish an discriminant equation.Different with previous literature, this paper mainly analyzed financial indicators into the discriminant function, by discriminant analysis we can see that for less than the industry average gearing level of the company, the liabilities arising from financial pressure is relatively small, and a total asset turnover affecting their level of financial risks is the biggest factor is consistent with economic significance, and the coefficient of determination, due to the fixed asset turnover is almost zero, so for this class of listed companies, financial risk control should focus on current assets, operations and management. The gearing level although higher than the industry average, but not exceeding a critical point for companies, equity ratio affecting its financial risk becomes a major factor. This means that such a source of financial risks listed company capital structure firstly, so that type of listed companies, optimize the capital structure to expand financing channels for its financial risk control has become the object of focus.By the financial indicators entering the discriminant function analysis, this paper provided specific financial risk control suggestion for different levels of enterprises, and this is the significance of this study.And because my level of research and knowledge of a limited selection of indicators in the group, taking into account the most direct expression of corporate risk is insolvent, so this paper chosen asset-liability ratio and the industry average indicators to group samples, discussed the differences of the impact of financial risk between the different groups.