Saturday, October 3, 2020

IGNOU : M.COM : MCO 7 : UNIT 1 : Q - 2. Discuss the challenges faced by the financial managers in India.


Ans.  CHALLENGES FOR FINANCIAL MANAGER

While mobilization of funds and investments of funds have been the prime responsibility of financial manager/CFO owing to momentous changes in the business environment particularly economic and financial, the nature of challenges faced by financial manager have undergone immense shifts. The first and the foremost challenge is shareholders value creation. The shareholders, even the minority, have become demanding and vocal. They are no more satisfied with increasing sales, or decreasing costs; they want growing total shareholders return. As a consequence, the financial manager has to concentrate not only on earning per share but also on market capitalization.

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