Asset-liability Ratio,Business Risk And Corporate Performance:Case Study Of Jinbei Automobile

Company performance issues are currently very concerned about the topic of car prices.On the one hand,the listed car prices need to affect the performance of the company which factors are in-depth and detailed analysis of the analysis,on the other hand,but also to find the characteristics of their own performance characteristics,so as to achieve the purpose of improving the performance of the drug.Based on modern capital structure theory and risk theory,this paper analyzes the impact of Jinbei Automobile ’s excessive liability and its operational risk on its performance by case study method.Based on the theory of capital structure,this paper puts forward the research hypothesis,and then analyzes and validates the case sample company in the actual situation with these hypotheses.The first step analysis of the Jinbei Automobile performance in all aspects and found that compared with the average level of the automotive industry,Jinbei Automobile performance in all aspects of relatively poor performance;the second step is to use the chain replacement method to find out the causes of poor performance level-excessive liability and operational risk;the third step analyzes that how the over-indebtedness and the operating problem affect the performance level,and the liabilities are analyzed from the two aspects of the overall debt level and the borrowing period.Found that up to 90 percent of the debt ratio makes the Jinbei Automobile capital use costs are too high,caught in the financial difficulties,and ultimately led to the company’s performance level of the decline;In the business aspects of the Jinbei Automobile is facing a variety of operating risks are too large,such as financial risks,personnel risks,cooperation risks,because it does not control the level of business risk within a reasonable range,making its company performance has been negatively affected;finally,it analyzes the relationship between excess liability and operating risk-financial risk and its performance.It is found that the financial risk level faced by Jinbei Automobile is much larger than that of other enterprises in the same industry.After analysis,it is found that this But also a major reason for its poor performance.Through the analysis of Jinbei Automobile,it was found that the excessive liability of Jinbei Automobile caused its asset-liability ratio to exceed the reasonable ratio range,and finally had a negative negative impact on its corporate performance;and in excess liabilities,the proportion of short-term debt continued to be at a high level,thereby reducing the level of its corporate performance;in terms of business,mainly in the relationship with the parent company and foreign companies is weak,the proportion of skilled workers is relatively low,the main business imbalance,lack of sales expenses,these reasons led to the Jinbei Automobile is facing a lot of business risks,thus Reduced its corporate performance.