The Application of Improved Gray Correlative Analysis in Evaluating of Financial Risks of Enterprise

In the market economy, the financial risk that the enterprise faced is becoming increasingly diversification and complication, and the influence also deepen increasingly. Researching on evaluating of financial risks play an important role in promoting enterprise value and making enterprise develop healthily. At first the paper analyses and summarizes the current methods of evaluating financial risks, and then introduces the improved gray correlative analysis model to evaluate financial risks. At last, the paper verified the feasibility of the model in actual case. The improved gray correlative analysis can get the critical index of financial index system of enterprise and clarify the connect-degree between the critical financial index of enterprise and themselves. The paper put forward the suggestion that which financial index should be pay more attention to, and then analyze them pertinently according to the order of connect- degree. In the end, the paper give a prospect of how to evaluating financial risks.