Author(s)

Xuchen Ling

Corresponding Author

Xuchen Ling

ABSTRACT

The real estate industry is one of China's landmark industries, and its rise and decline is directly related to the national economy. With the development of economy in recent years, China's real estate industry has developed very rapidly. However, as a capital-intensive industry, real estate has the characteristics of high risk, high investment, long payback period and slow capital turnover, which inevitably leads to high financial risks for real estate enterprises. In addition, recently the relevant government departments have implemented a series of regulation and control programs for real estate enterprises, which has increased the risk. Therefore, the analysis and prevention of financial risks of real estate enterprises have very important practical significance at this stage. Based on the analysis of the manifestation and reasons for the financial risks of real estate enterprises, this paper takes Greentown Holdings as an example and uses the Z-score model to calculate the probability of its financial risks. It aims to identify problems and solve it with prevention and control and to provide a valuable reference for corporate managers to control and prevent financial risks.

KEYWORDS

Real estate enterprise, financial risk, Z-score model