Study On Financial Risk Control Of Greentown Group

Greentown Group is one of the largest real estate developers in Hangzhou,mainly developing high-end residential property in the downtown areas of Hangzhou and Shanghai.The business model of Greentown is gradually trying to transform from "develop-sales" to "light asset operation mode based on agent construction",and has completed the transformation in 2015.Under the influence of national policies,the group has seen a downward trend in net profit since 2013.In2015,the group's net profit fell by 60.76%.Due to the national policy to restrict the sale of high-end housing and encourage the sale of middle and low grade housing,Greentown should take active control measures soon.Prevent the financial risks associated with reduced sales revenue.This paper selects the annual report data of Green City in recent five years,and from five aspects to identify and analyze the financial risks of Greentown.Then,this paper uses the Grey fuzzy evaluation model based on AHP to quantitatively evaluate the financial risk of Greentown.It shows that there are still some problems in the financial risk control of Greentown--although the Greentown has a financial risk control system,it is more likely to be for the sake of the country.Set up under the supervision of the The financial risk control system is only the arrangement of the work flow,and does not clearly define the content of the financial risk control,the supervision and assessment of the financial risk control.The reasons behind it are the lack of awareness of financial risk control in the management of the group,the excessive dependence of the financial risk control process on the implementation of the internal control system,and the absence of an effective financial risk control system within the group.Therefore,this paper aims at the problems existing in the financial risk control of the Greentown Group and combines with the Greentown.This paper designs a set of financial risk control system for it and puts forward some suggestions on its financial risk control problems in order to effectively improve the financial risk control level of Greentown Group.