Analysis on Financial Policy of Enterprise and Sustainable Growth

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Tao Wu 1,* Jinhua Guan 2

1. Economics Institute, Northeastern University at Qin huangdao, Qinghuangdao, China

2. Department of Finance Department, The Environalmental Management College of China, Qinghuangdao, China

* Corresponding author.


Received: 19 May 2012 / Revised: 20 Jul. 2012 / Accepted: 31 Aug. 2012 / Published: 5 Oct. 2012

Index Terms

Enterprise, Sustainable Growth, Financial Policy


Excessive growth will constrain enterprise resources, including intelligence, material, and money and so on. The slow growth rate will waste the precious financial resources of enterprise. The average rate of profit will be lower than that of social resources. When the actual sales growth rate is inconsistent with the sustainable growth rate, enterprise should lay emphasis on growth management and adopt appropriate financial policies to keep them consistent. This article analyzes the sales growth from financial perspective and uses financial index to estimate so as to avoid the problems caused by unfavorable growth and eventually to achieve the goal of sustainable growth.

Cite This Paper

Tao Wu, Jinhua Guan,"Analysis on Financial Policy of Enterprise and Sustainable Growth", IJEM, vol.2, no.5, pp.78-82, 2012. DOI: 10.5815/ijem.2012.05.11 


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