Analysis of a structural and logical model of a leading company’s financial standing

DOI

10.2991/icseal-18.2018.19How to use a DOI?

Keywords

Macroeconomic instability, financial standing, financial management, business leadership

Abstract

Analytical work is actualized in the context of macroeconomic instability when the interpretation of findings makes possible determining the level of company’s financial standing, since in today’s economy it is the most important characteristic of business activity and reliability of the company. It determines its competitiveness and business cooperation prospects. Moreover, it is the guarantor of effective realization of economic interests of all economic participants and determines the leading position of a company on the market. This paper presents methods of financial standing evaluation and a structural and logical model that will remove contradictions in choosing the financial indicators. Its practical application will provide streamlining the evaluation process and improve its quality. Obviously, that only an adequate financial condition evaluation will promote the effective strategic development of the company. All this leads to the need for updating the studies related to the choice of financial indicators and financial standing analysis. The subject of the study is financial and economic relations that determine the results of the financial condition of the company. The purpose of the study is to develop a structural and logical model for analyzing the financial condition of an enterprise. The methods used in this study are dialectical cognition of reality, systemic analysis, structural analysis, deduction and induction that provide a comprehensive interpretation of the findings. Based on our results, a stage-by-stage analysis of the financial condition was formed, and key financial indicators were identified, thus providing a reliable evaluation and effortless interpretation of the results obtained. It appears that theoretical and methodological developments could be utilized by enterprises to improve the effectiveness of financial analysis through the application of practice-oriented aspects of results’ interpretation. Our results deepen and supplement the theoretical basis of financial management in the financial standing analysis, develop the methodological foundations of research and have a great potential for practical implementation.

Copyright

© 2018, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Marina Charaeva
PY  - 2018/10
DA  - 2018/10
TI  - Analysis of a structural and logical model of a leading company’s financial standing
BT  - Proceedings of the 2nd International Conference on Social, Economic and Academic Leadership (ICSEAL 2018)
PB  - Atlantis Press
SP  - 127
EP  - 133
SN  - 2352-5398
UR  - https://doi.org/10.2991/icseal-18.2018.19
DO  - 10.2991/icseal-18.2018.19
ID  - Charaeva2018/10
ER  -