Study Of Jinghua Pharmaceutical Company’s Financial Risk Control Strategies

Financial risk is the posibility of enterprise’s economic loss generated by bias between real and expected profits, affected by various dificult predited and controled factors, in the process of capital operations or corporate income distributions and other financial activities. Financial risk in the company’s development process is an objective reality, the company can only be controlled by strengthening financial risk effectively reduce the risk, the risk can not be eliminated. Currently, the essence of the pharmaceutical company is in a critical period of transition structure optimization, under the new health care reform GMP and pharmaceutical industry M & A wave of joint action, restructuring of the pharmaceutical industry competition becomes more intense, the pharmaceutical company’s financial risks become more prominent. Meanwhile, in April 2014 the state issued "on the non-public sector health care issues related to the implementation of market adjustment notice" to further promote the medical service market price, financial risk fittest pharmaceutical companies under growing. For the essence of pharmaceutical companies in the industry to better survive, we must keep a close eye changes in the market, fully understand the characteristics of the industries in which more attention to their own financial situation, adopt a more flexible resilient business strategy, and constantly enhance their financial ability to resist risks.Based on the theory of financial risk control, select the essence of the main financial indicators pharmaceutical company nearly three years, combined with the pharmaceutical industry average in terms of solvency, operations, profitability, ability to develop in-depth analysis of the essence of the pharmaceutical companies are facing financial risk, and reveals the essence of the formation of the reasons pharmaceutical companies financial risk from the external market environment factors, exchange rates, trade policy, price and other materials, as well as internal factors of qualified personnel, internal control, accounts receivable management, inventory management, etc. then proposed to improve the financial early warning system, strengthen human resources, and improve the internal control system, strengthen the management of accounts receivable, optimize inventory management, good product development, so as to effectively prevent the essence of the company’s financial risks and safeguard the sustainable and healthy development of the company.