Dissertation > Excellent graduate degree dissertation topics show

Research on Over-investment Behavior and Formation Mechanism of Listed Companies in China

Author: ZhuFangXiang
Tutor: ChuErMing
School: Xiangtan University
Course: Management Science and Engineering
Keywords: Free cash flow Corporate Governance Ultimate controller Institutional environment Over-investment
CLC: F276.6;F832.51
Type: Master's thesis
Year: 2010
Downloads: 275
Quote: 3
Read: Download Dissertation

Abstract


As an important basis for corporate finance, investment decision-making behavior of listed companies is one of the main factors to promote the growth of company’s future cash flow. In particular, it’s an important force to promote the development of the company. However, due to the impact of macro and micro level, imbalance of the system environment between different areas, poor company mechanisms, etc. Investment behavior is not always match their own conditions, which would result in ineffective investment such as Over-investment and under-investment, ultimately damage the company’s value, impede it’s development. Therefore, to study investment behavior of Chinese listed companies over the formation mechanism, would be of important theoretical and practical significance for both China’s listed companies, and the securities market.Based on the above understanding, from the following three aspects such as the free cash flow, corporate governance and institutional environment, this article has studied the forming mechanism of over-investment in Chinese listed companies. This article selects the annual data from the Shanghai and Shenzhen stock markets during the period 2005-2009 as the study sample, uses the method of empirical, to examine the impact of free cash flow on the over-investment, to make the research of over-investment more comprehensive, this article make further study with the classification of different ultimate controllers and institutional environment.The main conclusions of this paper as the following three points: First, the agents of free cash flow is widespread in China’s state-owned listed companies, and have positive influence on the company’s over-investment behavior,further, the samples are divided by the ultimate controllers into local government, central government and non-governmental control as three types, concluded that the over-investment behavior caused by the free cash flow more likely happen in the former than the other two; Second, with strengthen the independence of directors and manager ownership mechanism, the over-investment behavior is not remarkably controlled; Third, the institutional environment can have some effect on over-investment, in which investment environment has stronger influence on the listed companies under the central government’s control, while the government efficiency has stronger influence on the listed companies under local government’s control,however, both are difficult to make impact on the non-government-controlled listed companies.

Related Dissertations

  1. Empirical Study on the Top Management Turnover and Performance of Listed Companies in China,F224
  2. The Evaluation Research of a University’s Education Investment Benefit Based on the DEA,G647.5
  3. Study on the Internal Control Issues of Highway Construction Investments,F540.34
  4. Family Education in Poor Rural Areas of Investment Behavior,G78
  5. Studies on Early-warning Model and Simulation Structure of Brain Drain in Jilin Province Based on System Dynamics,C964.2
  6. The Study on the Risk of Enterprise Human Capital Investment,F224
  7. Research on the Fluctuations of the Real Estate Price on the Impact of Macroeconomic,F293.3;F124
  8. The Research of Management of Investment of Construction of Company BG,F283
  9. The Empirical Research on the Effects of Corporate Governance to the Performance of Commercial Bank,F224
  10. Empirical Research About the Influence of FDI and Industrial Structure in Zhejiang Province,F127;F224
  11. Study on Embeddedness of Industrial Cluster-Oriented Cross-Region Group Investment,F062.9
  12. The Study on Service-oriented Management on Foreign Investment,D630
  13. An Empirical Analysis of Qingdao, the growth of fixed asset investment and economic relations,F127;F224
  14. The Correlation Studies about Corporate Governance Structure and CPA’S Audit Quality,F276.6;F224
  15. Comparative Study of China and Ukraine Corporate Law,D951.13
  16. The Research on the Construction of the Board of Directors of State-Owned Individual Proprietorship Companies,F275
  17. German FDI in China Scale, Scope, and Failures,F125.5
  18. The Studies of Real Estate Investment Risk Decision of Third-tier Cities in Guangdong Basis of Fuzzy and Analytic Hierarchy Process Method,F293.3
  19. The Thinking on Corporate Income Tax Incentives,from Perspective of Law,F812.42
  20. On Improving the Supervision and Management System of Privately-offered Securities Investment Fund,F832.51
  21. Legal Regulation of Anonynmous Contribution,D922.291.91

CLC: > Economic > Fiscal, monetary > Finance, banking > China's financial,banking > Financial market
© 2012 www.DissertationTopic.Net  Mobile