Research On Financial Risk Management Of C Automobile Company

Countries have introduced a number of subsidy policies and measures to meet their emission reduction commitments to strongly support the electrification of vehicles.Under the global development trend,the management of the new energy industry must pay attention to the management of corporate risks,especially the management of corporate financial risks,while seizing the development opportunities.The party’s 20 th report points out that,in order to consolidate and maintain the industrial advantages,we can not shake the strategic focus of the development of new energy vehicles.At the same time,the new energy should be regarded as a new track representing the future industrial competition.By 2021,China ranks among the best in terms of technology and sales of new energy electric vehicles.Fast charging electric vehicles in the future is the trend of automobile development.In the "Energy Saving and New Energy Vehicle Technology Roadmap" released in 2020,C Automobile Company clearly stated that the global sales of electric vehicles have increased significantly in the past two years,and all its vehicles will be electric vehicles by 2025 to 2030.Enterprises should avoid the financial risks by optimizing the capital structure and improving the operational performance,so as to realize the healthy and long-term development of the company.This paper takes C automobile company as an example to study the financial risk problem,and uses literature review,cases analysis,quantitative analysis and other methods to study the financial risk of C automobile company.This paper will elaborate in detail from the following aspects: First,introduce the topic selection background and research significance of this paper,concepts and theories related to financial risk,lay the theoretical foundation for the identification and prevention of financial risks;next,through the analysis of three financial statements of balance sheet,income statement and cash flow statement of C Automobile Company from 2018-2022.Preliminary understanding of the financial situation of C company.Later,the financial risk is identified from five aspects: financing,investment,operation,cash flow and development,the entropy method and the efficacy coefficient method are used again to build the financial risk evaluation model,select the evaluation index by Pearson’s correlation coefficient method first.Then,the weight of the evaluation index is calculated by the entropy value method.To evaluate the financial risk,draw out the comprehensive financial risk of the company.Last,according to the above identification and evaluation results of financial risks,put forward targeted suggestions against the risks of the company.It is also hoped that the research of this paper can play a certain reference role in the management of financial risk in related industries.