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Study on the Motivation of Dividend Policies of China’s Listed Companies

Author: NianRongWei
Tutor: ChenJianGuo
School: Xinjiang University of Finance and Economics
Course: Business management
Keywords: Split share structure reform Corporate governance structure Dividend Policy
CLC: F275
Type: Master's thesis
Year: 2008
Downloads: 382
Quote: 0
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Abstract


With the development of the securities market and the growth of listed companies, listed companies, including dividend policy is becoming more and more important. The dividend policy is the main content of the listed companies' financial management, it is not only related to the interests of the shareholders, but also related to the future development of the listed companies. The dividend policy of listed companies between after-tax income and retained earnings, reasonable configuration financial strategies, is an important part of the company's financial activities. Reasonable dividend distribution policy, not only can establish a good corporate image, but also to stimulate the enthusiasm of the majority of investors in the company's continued investment to obtain a long-term, stable development conditions and opportunities. Dividend forms and instability, the lack of continuity in dividend policy, dividend distribution by refinancing constraints, the the dividends policy was phased small amount of other phenomena related to the Conduct of Parties in the corporate governance in China, the company of the listed companies in China governance is not perfect, due to the dominance of the equity structure of the managers and shareholders of listed companies have the motivation manipulation dividends, and the bank for the relatively weak position of the listed companies lack of governance capacity, is not an effective stock market can not provide external hard constraints governance. Split share structure reform, the ownership structure changed, thus affecting the conditions of corporate governance, the end of tradable shares and non-tradable shares of the differences, so the size of the interests of the shareholders to be consistent, to have an impact on the company's dividend policy . This article split share structure reform as the background data of listed companies in China, in the perspective of corporate governance Western dividend policy theory test to provide investment and policy recommendations for investors and regulators. In this paper, based on comprehensive research literature on dividend policy from our equity split the impact of the reform of corporate governance to start, the corporate governance structure as a system, the first factor analysis of internal and external indicators of corporate governance for listed companies dividend motives of policy, that is, from the point of view of corporate governance, the various aspects of the impact of the dividend, the theoretical analysis and propose appropriate assumptions, and then use the corresponding data of China's A-share listed companies has been completed the company's equity division reform empirical analysis, research to verify the motives of the company's dividend distribution, the final results of the empirical analysis concluded, and put forward policy recommendations and opinions.

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CLC: > Economic > Economic planning and management > Enterprise economy > Corporate Financial Management
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