Research On The Effective Management Of Price Risk By The Use Of Financial Derivatives In My Country's Manufacturing Industry

In today's world,under the economic globalization,combined effects of exchange rate,interest rate,supply and demand,and political factors,global commodity prices fluctuate wildly and tend to be normalized.At the same time,in the context of domestic de-capacity destocking,commodity prices have become more sensitive to changes in market factors in the short term.Under the linkage effect,the direction and size of the price risk exposure faced by China's manufacturing industry is more difficult to predict,which has brought about no small impact and challenge to the daily operation of China's manufacturing enterprises,and increased the risk management of enterprises.As an important tool for managing price risk,financial derivatives have been applied to enterprise risk management by more and more enterprises,and their ability to manage price risk is beyond doubt.However,the effect of China's manufacturing enterprises using derivative financial instruments is not satisfactory,and the cases of failure are everywhere.Based on the above understanding,this thesis attempts to analyze the current price of China's manufacturing enterprises in the process of manufacturing enterprises by analyzing the reasons for the unsatisfactory effect of the use of derivative financial instruments in China's manufacturing industry,and to find effective ways in combination with the company's own management objectives and external environmental conditions.The way through the use of financial derivatives to help companies manage the risk of price fluctuations encountered in daily operations and the resulting profit and loss risks and cash flow risks,etc.,to ensure that enterprises achieve the goal of controlling risks,pursuing profits,and operating steadily.This thesis aims to improve the effectiveness of China's manufacturing industry in using financial derivatives to manage price risk.It not only analyzes the tools and systems of China's financial derivatives market from a macro perspective,but also studies the risks inherent in enterprises and the business activities faced by enterprises.risks of.Combining the external economic environment of the enterprise,market development maturity and internal business planning,corporate strategic objectives and risk management needs,the macro market and the micro-enterprise are combined to explore feasible and effective enterprise price risk management solutions.In the end,from the understanding of effectiveness,the purpose of price risk management,and the innovation of management methods,we have found several ways to improve the effectiveness of China's manufacturing industry using derivative financial instruments to manage price risk.To this end,based on the overview of relevant theories,this thesis starts with the relationship between enterprise price risk management and derivative financial instruments,and further analyzes the current situation and existing problems of China's manufacturing industry using derivative financial instruments to manage price risk,especially in China.A non-effective analysis of the reasons why manufacturing uses derivative financial instruments to manage price risk.On this basis,aiming at improving the effectiveness of China's manufacturing industry in using financial derivatives to manage price risk,combined with the external economic environment,market development maturity and internal business planning,corporate strategic objectives and risk management needs,the macro The market is combined with the micro-enterprise to explore feasible and effective enterprise price risk management solutions.Finally,from the understanding of effectiveness,the purpose of price risk management,and the innovation of management methods,this thesis proposes eight ways to improve the effectiveness of China's manufacturing industry in using derivative financial instruments to manage price risk,with a view to manufacturing for China.Enterprises to raise awareness,update concepts,and improve the effectiveness of using financial derivatives to manage price risks,provide reference and reference.