Research on the Buffering Mechanism of Enterprise Financial Strategies Against the Risk of Business Cycle Recession

This article focuses on the buffering mechanism of corporate financial strategies against the risk of business cycle recession. Firstly, the characteristics and impacts of business cycle recession risks were expounded. Then, the main types of enterprise financial strategies were analyzed, including financing, investment and profit distribution strategies. Then, it delved into the buffering effects of debt and equity structure adjustment and cash reserve management in financing strategies, fixed asset, intangible asset and diversified investment adjustment in investment strategies, as well as retained earnings and dividend policy adjustment in profit distribution strategies on the risk of business cycle recession. It aims to provide theoretical support and practical guidance for enterprises to deal with the risk of business cycle recession.