Research On The Application Of Financial Strategy Matrix In BOE

With the development of our country's economy embracing the “New Normal”,the innovation ability has potentially become a better way to advance our country.On the situation of the most important strategic period,organizations' management is also facing the condition,which is ascended from operational management layer to strategic management layer.Likewise,the financial strategic management with an object of study in capital usages and management strategy has become crucial parts.This paper is based on Financial Strategy Matrix Theory – creating values and sustained growth ability – according to actual matters,it analyzes assessments and optimizes suggestions to the target companies.The initial main choice of the target company is BOE due to its current successful transformation from innovation-driven strategy to manufactural organization.In this article,the information is mainly from CCERDATE,CFI.CN and website of Shenzhen Stock Exchange.BOE,it collects its effective financial data,computes and establishes its financial strategy matrix assessments coordinate system(It would be called the System on the rest of the passage.).During calculating the Establishment of the Matrix,its references contain several theories,such as,CAPM,WACC and the like.On the foundation of this system,it gains the practical quadrant situation of BOE's finance,and uses the specific quadrant to determine what issue the target company is confronting,which is the vertical part and horizontal part of the Matrix: one refers to ROIC and WACC,the other refers to sales growth rate and sustainable growth rate,of the relevant financial data of counting procedures quadrants and the influential power and the reasons of results.Merging the recent 5 years of BOE's financial strategy to condition that is financial strategy and Dividend distribution strategy to analyze and make a further discussion,then give optimized suggestions and solutions of decisions in other facets based on the original financial strategy of the company.Based on the financial analysis of the target company and suggestions of the Matrix theory,it suits the expectations of this theory,also,testifies the guiding for the realty,and offers an effective result for the future samples by using this Financial strategy Matrix Theory.