Managing corporate financial solvency by means of sustainable business growth model
https://doi.org/10.37493/2307-907X.2024.6.17
Abstract
Introduction. The article addresses the fundamental problems of managing the corporate financial solvency.
Goal. The paper aims to adapt the model of sustainable business growth to the tasks of corporate financial solvency management.
Materials and methods. The research methodology appealed to classical perspective on sustainable business growth.
Results and discussion. The factors of sustainable growth were decomposed on the basis of the DuPont model, that let identifying such determinants of the corporate financial solvency as the dividend policy, financial structure and business activity.
Conclusion. It was argued that the main condition for the corporate financial solvency is its intensive business activity, while investments in projects with long payback periods, a slowdown in the financial cycle, a decrease in cost management efficiency and a deterioration in sales conditions pose the main risks to the financial health of the business.
About the Author
N. A. Lvova
Saint Petersburg State University
Russian Federation
Russian Federation
Nadezhda A. Lvova – Dr. Sci. (Econ.), Associate Professor, Professor of the Department of Credit Theory and Financial Management.
Researcher ID: N-1698-2013
Scopus Author ID: 57189349015
7-9-11, Universitetskaya nab., Saint Petersburg, 199034
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Review
For citations:
Lvova N.A. Managing corporate financial solvency by means of sustainable business growth model. Newsletter of North-Caucasus Federal University. 2024;(6):171-179. (In Russ.) https://doi.org/10.37493/2307-907X.2024.6.17
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