Research on the Impact of Financial Derivatives on Companies in the Energy Industry
In recent years, the development of the new energy industry has attracted more and more attention from countries focusing on coping with the energy crisis and economic upward development so that financial derivatives as a financial instrument need to be further explored for their value to companies....
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| Format: | Article |
| Language: | English |
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EDP Sciences
2025-01-01
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| Series: | SHS Web of Conferences |
| Online Access: | https://www.shs-conferences.org/articles/shsconf/pdf/2025/09/shsconf_icdde2025_02020.pdf |
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| _version_ | 1849421630757928960 |
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| author | Chen Shengyuan |
| author_facet | Chen Shengyuan |
| author_sort | Chen Shengyuan |
| collection | DOAJ |
| description | In recent years, the development of the new energy industry has attracted more and more attention from countries focusing on coping with the energy crisis and economic upward development so that financial derivatives as a financial instrument need to be further explored for their value to companies. This paper selects a case study on the risk resilience, market competitiveness, financial management level and business expansion of China’s leading energy company Baolihua New Energy before and after the systematic intervention of financial derivatives, aiming to explore how the intervention of financial derivatives affects the development of new energy enterprises in many aspects. Through a single-case study approach, the findings show that with the help of derivatives such as futures, both the purchase of raw materials and the packaging and sale of outputs are more efficient and more certain. The intervention of financial derivatives can help energy companies reduce price risk and play an important role in capital chain, market share and territorial expansion further. Meanwhile, this paper points out that derivatives could put forward an effective way for new energy enterprises to develop positively in financial derivatives in order to adapt to the development of the times. |
| format | Article |
| id | doaj-art-e0709416df264a1c951147b4757e49ff |
| institution | Kabale University |
| issn | 2261-2424 |
| language | English |
| publishDate | 2025-01-01 |
| publisher | EDP Sciences |
| record_format | Article |
| series | SHS Web of Conferences |
| spelling | doaj-art-e0709416df264a1c951147b4757e49ff2025-08-20T03:31:24ZengEDP SciencesSHS Web of Conferences2261-24242025-01-012180202010.1051/shsconf/202521802020shsconf_icdde2025_02020Research on the Impact of Financial Derivatives on Companies in the Energy IndustryChen Shengyuan0International Business School Suzhou, Xi’an Jiaotong-Liverpool UniversityIn recent years, the development of the new energy industry has attracted more and more attention from countries focusing on coping with the energy crisis and economic upward development so that financial derivatives as a financial instrument need to be further explored for their value to companies. This paper selects a case study on the risk resilience, market competitiveness, financial management level and business expansion of China’s leading energy company Baolihua New Energy before and after the systematic intervention of financial derivatives, aiming to explore how the intervention of financial derivatives affects the development of new energy enterprises in many aspects. Through a single-case study approach, the findings show that with the help of derivatives such as futures, both the purchase of raw materials and the packaging and sale of outputs are more efficient and more certain. The intervention of financial derivatives can help energy companies reduce price risk and play an important role in capital chain, market share and territorial expansion further. Meanwhile, this paper points out that derivatives could put forward an effective way for new energy enterprises to develop positively in financial derivatives in order to adapt to the development of the times.https://www.shs-conferences.org/articles/shsconf/pdf/2025/09/shsconf_icdde2025_02020.pdf |
| spellingShingle | Chen Shengyuan Research on the Impact of Financial Derivatives on Companies in the Energy Industry SHS Web of Conferences |
| title | Research on the Impact of Financial Derivatives on Companies in the Energy Industry |
| title_full | Research on the Impact of Financial Derivatives on Companies in the Energy Industry |
| title_fullStr | Research on the Impact of Financial Derivatives on Companies in the Energy Industry |
| title_full_unstemmed | Research on the Impact of Financial Derivatives on Companies in the Energy Industry |
| title_short | Research on the Impact of Financial Derivatives on Companies in the Energy Industry |
| title_sort | research on the impact of financial derivatives on companies in the energy industry |
| url | https://www.shs-conferences.org/articles/shsconf/pdf/2025/09/shsconf_icdde2025_02020.pdf |
| work_keys_str_mv | AT chenshengyuan researchontheimpactoffinancialderivativesoncompaniesintheenergyindustry |