TITLE:
A Study of Financial Risks of Listed Manufacturing Companies in China
AUTHORS:
Fang Fang
KEYWORDS:
Manufacturing Industry, Financial Risk, Risk Control
JOURNAL NAME:
Journal of Financial Risk Management,
Vol.5 No.4,
December
1,
2016
ABSTRACT: Financial risk is an objective phenomenon in economic activities. It has received extensive attention in theoretical and practical fields. For each company and operators in the market economy, the financial risk is an objective existence. The manufacturing industry as a pillar industry of China’s economic development, occupies a large proportion in China’s listed company. However because of the characteristics of its own manufacturing and the increasingly fierce market competition, some manufacturing listed companies went to bankruptcy because of financial risk crisis, so the research on manufacturing listed company financial risk has a very far-reaching significance. With the development of society, the financial risk is becoming more and more complex. This theory will combine research results and empirical analysis, define the concept of financial risk in manufacturing enterprises, use listed Chinese manufacturing companies as the research object, to analyze the cause of financial risk on the basis of reasoning analysis. This article aims to put forward measures to deal with financial risks, according to the Chinese manufacturing industry development situation, using both internal price control mechanism construction and financial risk management mechanism to protect the interests of stakeholders.