Research On Financial Flexibility Of Guangji Pharmaceutical Based On Entropy Weight-TOPSIS Method

Financial flexibility is an inevitable choice for enterprises to actively adapt to the external environment and actively respond to adverse changes brought about by environmental changes.In recent years,the slowdown in the growth rate of the pharmaceutical manufacturing industry,stricter policies,and intensified market competition have led to a significant increase in the uncertainty of the environment in which enterprises operate.At this time,whether a company has financial flexibility is an effective response to the crisis and seizure of investment.The key to the opportunity.As the world's largest manufacturer of riboflavin,Guangji Pharmaceutical has faced the adverse effects of factors such as the tough twists and turns of the global economic recovery and the oversupply of riboflavin products,and appropriate financial flexibility to cope with the adverse impacts brought about by environmental changes.Continuous development has become the top priority for the company.This paper adopts the combination of theory and case study,taking Guangji Pharmaceutical as the research object,and the pharmaceutical manufacturing industry as the comparison object,using the financial data of Guangji Pharmaceutical in 2013-2017 to study the financial flexibility of the company.Based on the research status of financial flexibility at home and abroad,this paper combines the current situation of Guangji Pharmaceutical and conducts financial flexibility research based on relevant theories.On the one hand,using the measurement method of Zeng Aimin scholars to analyze the financial flexibility of Guangji Pharmaceutical in cash,debt and equity,it is found that the combination analysis should be carried out on the three aspects;on the other hand,the entropy weight-TOPSIS method is used to analyze Guangji.The changes in the financial flexibility of the pharmaceutical industry and the specific indicators affecting the financial flexibility of Guangji Pharmaceuticals show that the financial flexibility of the company during the study period is highly volatile,and the flexibility of debt has the greatest impact.Finally,by analyzing the overall financial flexibility level of Guangji Pharmaceutical,the company proposed the financial flexibility of the company and gave inspiration to the pharmaceutical manufacturing enterprises.