Financial Risk Analysis And Control Of Company A Under The Expansionary Financial Strategy

Every enterprise usually has to undergo four growth stages of start-up stage,development stage,maturation stage and recession stage.In order to meet the needs of self-development and achieve the goal of rapid expansion of asset size,enterprises in the development stage tend to adopt the expansionary financial strategy to make up for the deficiency of internal accumulation relative to expansion.However,once the enterprise expansion speed is overly high and the supporting financial resources are unable to support the development of the enterprise,the enterprise will be beset with a financial crisis.Therefore,effective identification and prevention of financial risks is the fundamental guarantee for successful expansion of enterprises that develop at top speed and implement the expansionary financial strategy.In this paper,taking Company A as an example,under the background of the outdoor goods industry,that is,there are fierce competitions inside and outside the industry and the entire industry is "slowing down at high level",Company A,as a bellwether in the industry,took the lead in implementing the expansionary financial strategy in 2014,and rapidly carried out a large amount of investment mergers,so as to construct the exosphere in three fields of outdoors,sports and travel,to seek energetic benefit,and to find new opportunities for its development.The paper firstly reviews the research and discussions on financial risks and expansionary financial strategy in China and abroad.Secondly,related concepts of financial risks and expansionary financial strategy are defined.Thirdly,Company A and the present situation of its financial risks are introduced.Fourthly,the financial data and important indicators of Company A are analyzed,the financial risk points are identified through data,and analytic hierarchy process is used to make a systematic evaluation of the financial risks.Finally,according to the above result,in view of the main financial risk points of Company A,concrete prevention measures are put forwardto strengthen the financial risk control of the company.This paper selects A company which is carrying out expansionary financial strategy as the analysis object.On the one hand,it hopes to provide practical and effective help for the financial risk control of A company under the expansionary financial strategy.On the other hand,company A is a well-known enterprise in the field of outdoor supplies in our country.The financial risks it faces are representative.It can provide some reference for the enterprises of the same trade and other industries that want to meet the needs of the development of enterprises through the rapid expansion of the expansionary financial strategy.