Identification And Response Of Fund Activity Risk Of TCL Group

At present,the process of economic globalization and the increase of the world economy have slowed down.In particular,economic and trade friction between China and American has affected the production and operation of some enterprises.In the situation of economic downturn,the possibility of capital activities' risk has increased.And a set of methodologies that can effectively identify the risks and respond to them has become a common demand for every enterprise.In accordance with the classification of "Enterprise Internal Control Application Guide No.6--Fund Activity",this paper establishes a financial analysis system in order to identify the risk of capital activities.Then combined with business strategy,explore the reasons caused these risks and propose countermeasures for company.The home appliance manufacturing industry is an important industry in national economy.As a kind of manufacturing industry,its business involves procurement,production and sale.So,it also has reference value for other industries.In addition,the home appliance manufacturing industry is facing with quality upgrade and consumption structure adjustment,which means its demand of risk identification and response is relatively urgent.Therefore,this paper selects the financial data of TCL Group from 2013 to 2017 for longitudinal comparison to evaluate the running trend of capital activities,and selects the same period data of Gree to conduct horizontal comparison to evaluation of the gap between them.TCL group includes the risks of unreasonable long-term capital structure,high financing costs,blind investment,low investment efficiency,unreasonable credit policy and inventory backlog.Then compare the difference in the business strategy between them,analyze the external and internal reasons caused these risk points.Finally,combined with the development trend of the home appliance manufacturing industry,propose the targeted countermeasures.The financial analysis system of risk identification of capital activities constructed according to the internal control guidelines can be applied to every enterprises in the different industry and development stage.Enterprises can adjust the system combined their own characteristics,and gradually build a system that fits their own reality.