The Research On The Financial Strategy Optimization Of Yueyang Forest Paper Company

Due to the fierce competition in the domestic market,the slowdown of economic growth,overcapacity and other factors,the paper industry as a whole is in a downturn.Many companies gradually began to deepen the reform of their overall strategy,in order to find new profit growth point to promote the future development of the company.Financial strategy is the spirit of the company's business activities.If the company wants to develop better and sustainably,it is bound to be inseparable from a reasonable financial strategy.Under the background of vigorously promoting the supply side reform and the rapid development of the big data era,Yueyang forest paper,as the leader of the paper industry,has also opened the road of strategic reform and innovation of the company in line with the development of the times,and started to transform in terms of business.What is the financial strategy choice of the company,and whether there is room for optimization?This is also a question that other paper companies need to consider or reflect on when comparing their own transformation.This paper takes Yueyang Forest Paper Co.,Ltd.(hereinafter referred to as Yueyang forest paper company)as the research object.On the basis of expounding the related concepts of financial strategy and the theory of financial strategy matrix,this paper first uses SWOT The analysis matrix analyzes the internal and external environment of Yueyang forest paper.Secondly,the financial strategy matrix model is established to evaluate the financial strategy of Yueyang forest paper.Combined with the current situation,the following problems need to be optimized:(1)financing strategy:single channel,high risk;high financing cost,poor capital structure;long-term short-term debt is difficult to meet long-term investment.(2)Investment strategy:the amount of investment increases year by year,the investment speed is too fast;the investment type is single,the investment return rate is low;the lack of R&D investment is difficult to support the company's business transformation.(3)Operation strategy:the strategy is too conservative and holds high net working capital;the working capital turnover is slow and the management efficiency is low.(4)Income distribution strategy:dividend distribution policy can not play a good incentive role for the company's employees.Finally,the corresponding optimization suggestions are put forward and the safeguard measures are summarized to ensure the effective implementation of the optimization suggestions.In a word,this paper hopes to provide practical suggestions for the future development of Yueyang forest paper company through the study of financial strategy of Yueyang forest paper,and also provide certain reference for other paper companies in the process of selecting,formulating and optimizing financial strategy.