Research For The Sustainable Growth Of AAA Group

The objective of this essay is to introduce a managing tool, sustainable growth rate model, for Group AAA which can deal with passive changes from outsides and insides circumstances. The main point is: Using the sustainable growth rate model, the enterprise can stipulate financial strategy and allocate financial resources to match the strategic adjustment due to the changes of insides and outsides. Therefore, the enterprise will safely pass through the period of adjustment.The structure: Section A introduces directly the researching objective, tool and structure of the thesis. Section B tracks back to the Western theories about sustainable growth rate model, then introduces the "sustainable growth rate" reorganized-model which will be applied over and over in following sections. Section C focuses on the target corporation called Group AAA whose main business and features are brought in. Two applications are put forward accountant data in 2003-2006 of Group AAA in Section D——one is to study the health of the revenue growing speed of Group AAA of 2004 & 2005, by analyzing the sensitivity difference of five factors of the sustainable growth rate model, another is to investigate the five factors' differences about the sustainable influence to the growing speed of the sequent years. Utilizing the conclusion of Section D, Section E helps Group AAA draw out the investment, finance and benefit allocation strategies in 2007-2009. Therefore Group AAA can complete the strategic adjustment successfully under the risk control, and grow fast. Section F is the ending giving the limitation.The goal of the article is to help corporations map out the financial strategies and allocate resources by the managing tool so that they can avoid risk and fasten the growing speed.