Research On The Impact Of Sustainable Growth On The Financial Risk Of Listed Manufacturing Companies In China

Since the market economy system reform in China,the capital market is gradually active.In the wave of market economy,the competition between companies becomes more and more intense,so for investors and operators,the risk is likely to occur anytime,anywhere,especially for listed companies.Dozens of companies are reduced to ST by non-ST every year.The securities market of our country has been developing for nearly twenty years.With the experience of nearly thirty years,the occurrence of financial risks and crises can have incalculable consequences for the company through the influence of the credit,reputation and market value of the company.Many companies with bright prospects disappear from sight,bankruptcy or annexation,because they are affected by financial risks.Therefore,the prevention and control of financial risk is very important for each company.As we all know,manufacturing is the pillar industry of our national economy,and the listed companies occupy half of the whole industry in the manufacturing industry.Therefore,the research on the listed companies in manufacturing industry has more reference value to the economic development of our country.According to the view of this paper,sustainable growth is of great significance to the financial risk of the company as one of the factors affecting the financial risk of the listed companies in manufacturing industry.Whether the rapid growth or slow growth of the company will increase the financial risk of the company,so the financial sustainable growth management can be one of the measures to prevent and deal with the financial risk.Then,the theoretical analysis of sustainable growth and financial risk is carried out,which lays a theoretical foundation for the empirical study.After summarizing the sustainable growth and financial risk management of listed companies in China,based on the previous research,this paper assumes that,when the growth of enterprises deviates from the sustainable growth rate,the greater the deviation degree,the higher the financial risk.Binary logistic regression model is then used tools for empirical research,proved the influence of enterprise sustainable growth of financial risk,enrich the theory of sustainable growth and financial risk management,improve theapplication value of financial sustainable growth model.In view of the results of this article,some suggestions are given to the listed companies of manufacturing industry in China from the following aspects: strengthening the understanding of sustainable growth,strengthening the management of sustainable growth and optimizing the allocation of financial resources.Finally,the paper reviews the shortcomings s of the article,and puts forward new prospects for future research.