Research On The Risk Of X Company’s Capital Chain

As China is getting better on the road to rejuvenation,all walks of life in China have achieved rapid development.The real estate industry is one of the most closely related industries to the national economy.The real estate industry is a capital intensive industry,which is characterized by large capital demand and long project cycle.The smooth circulation of capital chain is an extremely important guarantee for its normal development and operation.In recent years,the real estate industry has been in a very difficult situation due to the macro level economic environment and a series of national policies to restrict loans and purchases.In this context,it is very necessary for the industry and our economy to study the capital chain risk of real estate companies.This paper adopts the literature research method and case analysis method,and selects X Real Estate Company as the case object to study its capital chain risk according to the relevant theoretical basis of capital circulation.First of all,after a brief introduction of the company’s profile,the risks in the three capital chain circulation links of Company X,namely,fund raising,fund use and fund return,were identified and analyzed respectively.The analysis found that Company X had problems such as large debt scale,poor operating conditions,and low asset turnover,which may have a negative impact on Company X’s capital chain and make it face large capital chain risks.Secondly,the evaluation system is established by selecting indicators,the entropy weight method is used to calculate the weight of each indicator,and the TOPSIS method is used to evaluate the company’s capital chain risk.At the same time,the ranking of the industry’s listed companies’ capital chain risk is obtained,and the evaluation results are comprehensively and link by link analyzed.Finally,according to the results of identification and analysis,we further found the incentives of X Company’s capital chain risk: large debt scale,high financing cost,and unreasonable debt structure in the financing link;The regional layout of the capital use link is single,and the capital base is placed in the area around Beijing,which suffers from poor operation.At the same time,the radical expansion has led to the continuous negative cash flow;The main business model in the capital withdrawal link has shortcomings,which makes the asset turnover rate low.According to the inducements of each link and the company’s own situation,this paper puts forward the risk control measures of X Company’s capital chain to reduce the company’s capital chain risk and promote the sustainable operation and development of the enterprise.This paper studies the capital chain risk of X Real Estate Company,summarizes the incentives leading to the greater capital chain risk of X Real Estate Company,and summarizes the control measures for reference,which provides reference materials for the domestic real estate developers in terms of capital chain risk management and control.For the national regulatory functional institutions,quantitative identification of the capital chain risk of real estate companies from the micro level and the operational level,and the real construction of an orderly real estate market also provide some inspiration.