Advances in Consumer Research
Issue 3 : 705-710
Original Article
Factors affecting financial risk management in coal industry enterprises: From the practical experience in Vietnam
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Hanoi University of Mining and Geology, Vietnam
Abstract

In the context of an increasingly volatile energy market and business environment, financial risk management plays a crucial role in the stability and sustainable development of coal industry enterprises. However, the effectiveness of financial risk management in these enterprises is affected by various factors, including both internal and external environmental factors. This study aims to analyze the factors influencing financial risk management in coal industry enterprises from a Vietnamese perspective. The analysis results show that financial risk management in coal industry enterprises is significantly influenced by financial management capacity and internal control systems. In addition, capital structure, coal market volatility, access to capital, and the institutional environment also have a certain impact on the effectiveness of financial risk management, although the degree of influence varies. The findings suggest that improving the effectiveness of financial risk management requires a holistic approach, combining enhanced internal governance capacity within enterprises with a improved policy environment. This research contributes to the empirical evidence on financial risk management in the resource extraction industry and provides a scientific basis for proposing solutions to improve the effectiveness of financial risk management in coal mining enterprises

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