Research On Financial Risk And Its Prevention Of China's Real Estate Industry

With China's sustained economic development and social adjustment of consumption structure,the public has a constant growing demand for commercial housing.So,the real estate industry has rapidly become one of the pillar industries of the national economy with its strong correlation to other industries and its leading effects, which plays a key role in modern social and economic life.The real estate as a typical capital-intensive industry,with a large investment,high-risk,long cycle,long supply chain and striking regional differences,is inevitably faced with a certain degree of financial risk.In addition,deeply suffered from the current domestic macro-economic control together with international economic turmoil and the tightening of monetary policy,the potential financial risk has turned out to be a real estate business survival and development of many of the urgent need to address the real issues. As a result,when running the real estate business,how to prevent financial risk effectively,overall and systematicly and how to reinforce competitive advantages are particularly necessary for the realization of China's real estate business of sustainable development.Based on the study in the summary of the relevant domestic and foreign enterprises financial risk theory,Combined with analysis of the current situation in China's real estate enterprise,this article first aims to explore the potential financial risk in domestic real estate enterprises.Second,from the perspective of internal capital cycle in real estate enterprise,in view of the characteristics for domestic real estate business,with in-depth study of the causes of the financial risk among the domestic real estate enterprises, under these circumstances,a real estate enterprise financial risk Recognition system and financial risk warning system are to be established through the empirical study of selected representative of the real estate business as a financial indicator of the financial risk assessment of pre-warning indicators.Combined with pre-warning information systems,pre-warning systems and pre-point control system response to the real estate finance business To guard against the risk of pre-warning;and further improve the real estate business to guard against financial risks of specific measures to ideas and suggestions with a view to China's real estate business and financial risk management useful for enterprise management authorities to guard against financial risks to provide a new reference.