An Empirical Study On The Impact Of Cash Flow Volatility On The Value Of Information Technology Service Enterprises

In China,an important part of modern enterprise's capital management is the management of cash flow.In other words,the research of enterprise cash flow has become an important research object of many scholars at home and abroad.Because cash flow affects the enterprise operation to a great extent,the volatility of a corporate cash flow will have a significant impact on the enterprise's investment financing and dividend policy,and thus affect the enterprise in the market valuation,so cash flow management is an important link in enterprise management and part.The information technology industry is a sunrise industry in our country and even in the world.The contribution rate to a country's economy can't be underestimated.It can be said who controls the right of development of the world's information technology service industry and who will take the leading position in the future economic global positioning.This study mainly adopts empirical and normative methods to empirically study the impact of cash flow fluctuation on the business value of information technology service enterprises in China.Combined with the principle of enterprise risk management and related research of scholars at home and abroad are discussed and summarized research on cash flow,enterprise value theory and dynamic relationship between the sufficient demonstration and analysis,the combination of enterprise's financial statements,starting from the two angles of the empirical and normative,in order to achieve in-depth analysis effect of cash flow on the value of the enterprise purpose.In this paper,we use empirical analysis method,and take various factors such as debt paying ability,profitability and operation capacity as control variables to further study and analyze the impact of cash flow fluctuation on business value.The results of the empirical study show that the impact of cash flow on the value of the enterprise is negative correlation.In this paper,on the basis of previous scholars' studies on the related theory of the refinement,in order to better enrich the development of enterprise management theory and enterprise value theory,also can better serve for the information technology services company,providing reference for the research of other industries.