Research On Financial Competitiveness Of Environmental Protection Industry

After more than 30 years of development,China's environmental protection industry has begun to take shape.The rapid development of industrialization and urbanization has also promoted the enhancement of environmental awareness and the development of environmental protection industry in China.Especially since the "tenth five-year plan,our country has strengthen the management of electricity,cement,steel,chemical,light industry and other heavy pollution industry,and increased more construction investment for the environmental protection infrastructure of the disposal of the urban sewage,rubbish and hazardous waste,and effectively boost the market demand of environmental protection industry.Then the overall scale and the field of the industry expands rapidly.What's more,the structure,the whole level,operation quality and efficiency improve a lot.From the initial stage of "three wastes treatment",it has developed into an industrial system that includes environmental protection products,environmental services,clean products,recycling of wastes,cross-industry and trans-regional,and basically complete industrial categories.The research on the financial competitiveness of listed companies in China's environmental protection industry can more intuitively reflect the current level of China's environmental protection industry's financial competitiveness,facilitate the company's understanding of its own financial competitiveness and the financial capabilities of other companies in the same industry,so as to formulate appropriate financial strategies that can improve financial conditions,improve economic efficiency,and achieve sustainable development.Firstly,this article focuses on the relevant theoretical part of the company's financial competitiveness,including the meaning,characteristics,constituent elements,construction principles and evaluation methods of financial competitiveness after reviewing the relevant literature.Secondly,it defines the environmental protection industry,and constructs the evaluation index system of the financial competitiveness of the environmental protection industry according to the related characteristics of the environmental protection industry,and selects 15 indicators.Thirdly,the paper uses factor analysis method for the screening of 45 Shanghai and Shenzhen listed environmental protection companies to conduct financial competitiveness evaluation research,abstracts the profitability factor,solvency factor,development capacity factor,operational capacity factor and cash capacity factor,scores for the 45 listed companies by this formula.Fourthly,the paper uses clustering analysis to separate four types of the level of environmental enterprises' financial competitiveness.Lastly,on the basis of the above date,the paper puts forward some suggestions on how to improve the financial competitiveness.