Study On Financial Quality And Improvement Of BYD

After an enterprise joins the capital market as a listed company,its operating performance will be concerned by stakeholders,creditors,governments and regulators.The poor performance of an enterprise will affect the investment behavior of investors and further affect the development of the enterprise,which will increase the pressure on the management of the enterprise.Business managers want to have a long-term stable business performance,the fundamental lies in paying attention to the quality of enterprise development.Therefore,the study on the financial quality of listed companies in China is conducive to guiding the management of enterprises to provide effective management control for the development of the company form the root,and to promote the long-term steady development of the company.This paper takes BYD,a listed company in China’s automobile manufacturing industry,as the research object,and takes capital structure quality,asset quality,profit quality,cash flow quality as the logical framework to analyze the financial quality of BYD,and compares with two enterprises with higher market share in the same industry.The study found that the financial quality level of some projects of BYD was low,for example the overall asset turnover ratio was low,the asset-liability ratio was high,the sales collection strength was low.Finally,this paper analyzes the reasons for the low financial quality from the external and internal aspects of the company,and puts forward the improvement strategies from the for dimensions.The research of this paper has certain reference value for enterprise decision-making and organization management choice,and has certain practical significance for improving the core competitiveness of China’s automobile manufacturing industry.