Akhmetov R.R.Kazan (Volga Region) Federal University (KFU), Kazan, Republic of Tatarstan, Russian Federation email@example.com ORCID id: not available
Subject The development of the modern theory and practice of risk management and growing complexity of domestic market functioning necessitate new tools to test and simulate public companies' financial strategy for financial security as part of value-based approach to financial management. Objectives The purpose of the study is to design a three-dimensional matrix of financial security using econometric modeling, simulate standard values of parameters of the matrix, and consider its practical application. Methods The paper rests on fundamental assumptions of the financial management theory related to risks. In the research, we also apply econometric and matrix modeling. Results We identified relationships between factors and value indicators, derived regression equations reflecting a type of interrelation based on nine econometric verifications, simulated standard values of chosen parameters of the matrix for three groups under consideration, i.e. optimum, critical and catastrophic situation. The paper presents a qualitative assessment of the matrix and recommendations for its modeling on the case of PAO Nizhnekamskneftekhim. Conclusions The research results may be useful for developing a financial strategy for risk management of joint-stock companies. The results of regression analysis show that achieving the optimal position in the matrix contributes to the growth of company value in the long run. The developed matrix may be applied within a complex analysis of company's financial strategy efficiency together with other models.
Lee C.F., Finnerty J.E. Finansy korporatsii: teoriya, metody i praktika [Corporate Finance: Theory, Method, and Applications]. Moscow, INFRA-M Publ., 2000, 686 p.
Scott M. Faktory stoimosti: Rukovodstvo dlya menedzherov po vyyavleniyu rychagov sozdaniya stoimosti [Value Drivers: The Manager's Guide for Driving Corporate Value Creation]. Moscow, Olimp-Biznes Publ., 2005, 432 p.
Higgins R.C. Analysis for Financial Management. McGraw-Hill Education, Irwin Series in Finance, Insurance and Real Estate, 2012, 459 p.
Blank I.A. Strategiya i taktika upravleniya finansami [Strategy and tactics of financial management]. Kiev, ITEM ltd, ADEF–Ukraina Publ., 2009, 534 p.
Lysenko D.V. [Using the methods of economic analysis in financial management]. Audit i finansovyi analiz = Audit and Financial Analysis, 2009, no. 4, pp. 184–226. (In Russ.)
Lysenko D.V. [Conceptual approaches to performance management and management decisions making]. Audit i finansovyi analiz = Audit and Financial Analysis, 2011, no. 5, pp. 286–293. (In Russ.)
Andreeva O.V. Modern Financial Strategy of Large Industrial Corporations. World Applied Sciences Journal, 2014, vol. 29, no. 1, pp. 125–129. URL: Link
Van Horne J.C., Wachowicz J.M.Jr. Osnovy finansovogo menedzhmenta [Fundamentals of Financial Management]. Moscow, Vil'yams Publ., 2008, 1232 p.
Lobanova E.N. Korporativnyi finansovyi menedzhment [Corporate financial management]. Moscow, Higher School of Finance and Management at RANEPA Publ., 2011, 734 p.
Lobanova E.N., Limitovskii M.A. Finansovyi menedzher [Financial manager]. Moscow, DeKA Publ., 2007, 396 p.
Dorofeev M.L. [Comparative analysis of strategic models of financial management]. Finansovyi menedzhment = Financial Management, 2008, no. 2, pp. 31–41. (In Russ.)
Filippova I.A. [Integrated assessment of company's financial risks]. Vestnik KGFEI = Vestnik KSFEI, 2011, no. 3, pp. 66–69. (In Russ.)
Deron Liang, Chia-Chi Lu, Chih-Fong Tsai, Guan-An Shih. Financial Ratios and Corporate Governance Indicators in Bankruptcy Prediction: A Comprehensive Study. European Journal of Operational Research, 2016, vol. 252, iss. 2, pp. 561–572. URL: Link
Volkov D.L. Teoriya tsennostno orientirovannogo menedzhmenta: finansovyi i bukhgalterskii aspekty: monografiya [The theory of value-based management: financial and accounting considerations]. St. Petersburg, Higher School of Management Publ., 2008, 320 p.
Pochitaev A.Y., Yarovinskaya M.S., Filippova I.A. Some Aspects of the Formation a Financial Strategy in Emerging Markets. Mediterranean Journal of Social Sciences, 2014, vol. 5, no. 24, pp. 28–32. URL: Link
Brealey R.A., Myers S.C. Printsipy korporativnykh finansov [Principles of Corporate Finance]. Moscow, Olimp-Biznes Publ., 2008, 1008 p.
Filippova I.A. [Liquidity risks and analysis of potential bankruptcy of a company]. Ekonomicheskii Vestnik Respubliki Tatarstan = Economic Bulletin of the Republic of Tatarstan, 2012, no. 2, pp. 58–63. (In Russ.)
Atrill P. Finansovyi menedzhment dlya nespetsialistov [Financial Management for Non-specialists]. St. Petersburg, Piter Publ., 2006, 608 p.
Mario Hernandez Tinoco, Nick Wilson. Financial Distress and Bankruptcy Prediction Among Listed Companies Using Accounting, Market and Macroeconomic Variables. International Review of Financial Analysis, 2013, vol. 30, pp. 394–419. URL: Link