A Study On The Influence Of Property Rights Subjects On Financial Strategy Selection From The Perspective Of Life Cycle

Financial strategy is the core of the company’s strategy and the key to the success or failure of the company.It has been the focus of the theoretical and practical circles.Correct and appropriate financial strategies can effectively stimulate corporate value and maximize corporate value.However,in corporate practice,most failing companies start with a financial strategy defeat,and the domino effect is produced until the company closes.In order to better explain this phenomenon,this article chooses the former photovoltaic giant Savvy LDK as an example for analysis.Through case study,it is found that the core problem of the failure of LDK Solar is that the financial strategy and the development stage of the company are extremely mismatched and blindly expanded.The financial strategy is the key factor that led to the fall of LDK Solar.With the thinking about the falling of the LDK superstar of Xavier,we combed the relevant literature and found that it is an interesting topic to study the choice of corporate financial strategy from the different life cycles of the enterprise,because the main body of the property right that controls the position in different life cycles is due to the utility The difference in goals affects the choice of corporate financial strategy.In order to explain and demonstrate the research theme,this article applies the game theory research method,and analyzes the whole process of LDK Solar.In the start-up period,companies consider whether to choose to settle in according to the preferential policies provided by the government,and the government chooses to provide assistance based on the economic benefits that the company can bring.This stage is a stable financial strategy led by the enterprise.Local enterprises and the government form a symbiotic interest.To establish a relatively stable and mutually beneficial relationship;in the mature period,companies choose whether to continue development according to the internal and external development environment,the government chooses whether to rescue according to the cost of helping the enterprise,and whether the bank grants corporate loan assistance under the authorization of the government.In the stage,due to the government’s one-sided pursuit of economic benefits,the blind expansion of the financial strategy led by the multi-agentseventually led the company to delist.During the recession period,the game strategy generated by the enterprise and the government was the same as the mature period.This stage is a government-led defensive shrinking financial strategy.Enterprises strictly control cash flow to prevent recurrence of financial crisis.This article is aimed at the problem that the game between property rights subjects affects the choice of financial strategy in different periods.Through case studies,it is believed that the choice of corporate financial strategy will be affected by the utility goal of the dominant property rights subject.This difference is acceptable,but companies An early warning mechanism should be established to control and restrict the behavior of relevant property rights subjects,so that corporate financial strategies serve the overall value of the enterprise,thereby achieving sustainable corporate development.At the same time,it is necessary to build a platform for communication and cooperation,promote the compromise and cooperation of property rights subjects,and choose the best financial strategy of the enterprise to protect the interests of most property rights subjects.