Author(s)

Qian Zhang

Corresponding Author

Qian Zhang

Abstract

Since China’s WTO accession, the economic globalization has brought both unprecedent opportunities and severe challenges to the development of small and medium enterprises. Small and medium enterprises, powering the development of national economics and the society, have been effectively addressing the unemployment problem for the country. Nowadays, there are numerous factors constraining the development of China’s small and medium enterprises, especially the factor that the financial management is usually overlooked. Instead of going after long-term economic imperatives by taking advantage of financial management, a majority of these small and medium enterprises only pursue short-term purely economic interests, which makes them less competitive and puts them in vulnerable situations when faced with risks from the outside. The paper takes the actual situation of small and medium enterprises in Jilin into account to analyze the existing problems in financial risk management and thus puts forward some countermeasures to the problems in the hope of accelerating the development of these enterprises in Jilin.

Keywords

Small and medium enterprises, Financial risk, Risk management