Research On Financial Competitiveness Of Automobile Industry Based On Factor Analysis

With the rapid growth of China's economy,auto companies in the industry environment,the competition is more and more intense,enterprises are faced with the risk of being eliminated.Enterprises in order to survive and long-term business will always pay attention to the company's management,financial management,so as to enable enterprises to achieve sustainable development.Due to serious air pollution,the purchase of cars began to limit,travel restrictions are also implemented in many cities.But the car's annual sales have been rising,and each family has an average of less than a car,which shows the demand for cars there is still much room for improvement.The car industry too much dependence on the operating characteristics of the joint venture to determine the car operating conditions,car sales by many foreign brands of the impact.The financial situation of listed auto companies has a direct impact on the growth and growth direction of China's automobile industry,and it is of great necessity and practical significance to improve the financial competitiveness reasonably.This paper first elaborates the basic theory of enterprise competitiveness and financial competitiveness,takes into account the operating characteristics and financial characteristics of the automobile industry,and analyzes the necessity and importance of the research on the financial competitiveness of the automobile industry.Secondly,the rational selection of samples and financial indicators,the establishment of financial competitiveness evaluation system,the use of factor analysis to build the appropriate mathematical model.The selection of the sample is based on the number of listed companies in Shanghai and Shenzhen and then do not have a comparison of the bus and auto parts production enterprises,the final selection of 13 enterprises as a sample study.The selection of financial indicators is based on the low turnover rate of the automobile industry and the high correlation between the indicators,and finally selects ten secondary indicators of the three indicators as the financial indicators.Then,using factor analysis model to calculate the main factor ranking and comprehensive ranking,and then based on the main factor score ranking and comprehensive ranking of the automotive industry in-depth analysis of financial competitiveness.Finally,combined with the characteristics of the automotive industry and the market environment in which the automotive industry financial competitiveness of in-depth summary,and put forward to improve the financial competitiveness of the proposal.This article also illustrates the limitations of the analysis and the future direction of exploration and improvement.