Study On Financial Risk Early Warning Based On Improved Efficacy Coefficient Method

After 2010,the global economy gradually recovered,the world's automobile production and sales reached a new high,China's automobile industry,bus market also ushered in new development opportunities.However,in the process of production and operation of enterprises,various uncertainties will constantly appear,which makes enterprises more and more likely to fall into financial difficulties.In addition,the automobile industry usually has financial risks such as excessive liabilities,high accounts receivable and high cash flow pressure.Therefore,how to resolve and prevent financial risks is the key to the survival and development of the automobile industry.Taking ASIASTAR as an example,this paper analyses the characteristics of the automobile industry and the company's current operating conditions.Based on the principle and analysis steps of the improved efficacy coefficient method,a financial risk early warning system is constructed.On this basis,the source of financial risk of ASIASTAR is analyzed,and the measures to prevent financial risk are put forward.The full text consists of 6 chapters.The first part is the introduction,which elaborates the background and significance of this study.This paper reviews the research on financial risk early warning both at home and abroad.It also explains the content,research methods and innovations of this paper.Finally,it illustrates the context of the full text with the technical roadmap.The second part is related concepts and theories.Firstly,the meaning,classification and characteristics of financial risk are introduced,and the advantages and disadvantages of various financial risk early warning models are also introduced.Then,the analysis steps and advantages of the improved efficiency coefficient method are explained.The third part is the status quo analysis of the financial risk of ASIASTAR.Firstly,this paper briefly describes thecurrent situation of the automobile industry,and then analyses the financial risk status of ASIASTAR from four aspects: debt repayment risk,operation risk,profit risk and development risk,and obtains the necessity of constructing the financial risk early warning system of ASIASTAR.The fourth part is to build the financial risk early warning model of ASIASTAR based on improving the efficiency coefficient method.Firstly,the early warning indicators are selected,and then the weight of indicators,evaluation criteria and risk levels are determined.Finally,the validity of the model is tested with the financial data of ASIASTAR from 2015 to 2017.The fifth part is based on the results of the fourth part,which gives the countermeasures and suggestions to prevent the financial risk of ASIASTAR.The sixth part is the conclusion and outlook.This paper summarizes the contents of the research and points out the shortcomings.