Study On The Causes And Countermeasures Of TB Company's Financial Difficulties

With China's economy entering the "shift period",some industries and enterprises are facing problems such as increasing operating pressure,decreasing profit level,deteriorating external environment,and financial risks faced by internal operation.Once the operation and management of the enterprise is out of control,there may be serious consequences of shutdown,even bankruptcy liquidation.Although with the continuous optimization of China's financial environment,economic policies continue to incline to small and medium-sized enterprises,the financial difficulties are still a problem that plagues the development of China's enterprises.As an important role in the development of China's market economy,listed companies will be labeled with ST delisting risk warning mark if they can't cope with the financial difficulties well,which will seriously hinder the production and operation of enterprises and damage the legitimate rights and interests of investors,creditors and other stakeholders.Therefore,it is more and more important to analyze the performance and causes of the financial difficulties of the enterprises and put forward the mitigation measures with the times.It can not only promote enterprises to get out of difficulties and resolve risks,but also is the top priority to achieve the stable development of the industry and the country.In this paper,TB Green Food Co.,Ltd.(hereinafter referred to as "TB company")is selected as the research object.Firstly,the literature research method is used to collect the relevant research data of financial distress.This paper expounds the relevant research results of domestic and foreign scholars on financial distress,including the connotation,performance,causes and Countermeasures of financial distress.Through ratio analysis and trend analysis,this paper analyzes TB company's financial statement data from 2013 to 2018,and finds TB company's dilemma performance in terms of solvency,profitability,cost,main business and cash flow.Combined with the performance of financial difficulties and the internal and external environment,this paper analyzes the causes of financial difficulties,including the external causes such as the unstable development of the macro environment,the fierce competition in the agricultural products industry and the lack of high-end products in the cold drink industry,and the external causes such as the dominance of one share,the failure of business decision-making,the defect of internal control,the poor asset management,the single financing channel and the lack of core competitiveness Internal causes.Finally,basedon the internal and external causes of TB company's financial difficulties,the paper puts forward countermeasures to alleviate TB company's financial difficulties from two perspectives,which are to use the overall situation to watch the external causes,such as waiting for the change of macro environment,improving the competitiveness of the second main business and opening up China's high-end market,and to improve the corporate governance structure,improve the quality of business decision-making,strengthen the construction of internal control and enhance the assets According to the internal causes of countermeasures,such as management,broadening financing channels and improving core competitiveness.