Study On Environment Dynamism, Capital Structure And Operating Performance Of Listed Agribusiness

Agriculture is the foundation of national economy. By sharing risks and profits between companies and farmers, agriculture integration promotes agriculture economy and farmers' income largely. Agriculture listed companies become means of future agriculture integrating and path to modern agriculture by raising idle fund, diversifying risks and pushing forward agricultural vertical integration management.The paper studied factors impacting operating performance of the agriculture listed companies from both macro and micro point of view by establishing an analytical framework around dynamic environment, capital structure and performance. The chapter 1 is the introductory part, it introduced the background, purpose and meaning of the study, research method and chief contributions. Chapter 2 analyzed the evolution of agricultural listed companies by means of neo-institutional theory, which induced characteristics and problem existed from in the process of development, and put forward an analytical framework of environment dynamism, capital structure and performance. Chapter 3, 4, 5, 6, 7 and 8 are the chief parts of the paper, which illustrate macro and micro factors influence operating performance by means of comparative approach, quantitative and statistical approach, as well as theories and methods in the institutional economics, financial economics, and industrial economics. Among which chapter 3 introduced western capital structure theories and macro environment and industrial environment factors and then analyzed policy support effect on capital structure by unbalanced panel data. Chapter 4 and 5 analyzed macro environment and industrial environment effect on performance. Chapter 6 established a simultaneous equation of environment dynamism, capital structure and performance and adopted 2-step least square method to analyze relevance of capital structure and performance. Chapter 7 summarized macro environment and capital structure effect on investment policy-making of listed agribusiness and then use event research and least square method to analyze market response and performance influence resulted from changing raising fund. Chapter 8 analyzed M&A performance taking an example of seed industry and seed listed companies. Finally chapter 9 used agricultural listed companies in Hubei Province to analyze problems existed in the development of China's agricultural listed companies in the framework of environment dynamism, capital structure and performance established by the paper and chapter 10 gavean overall summary of the paper and suggested the further research.The result shows that the subsidy, tax reduction and other support policy from central or local government did not lead to expected result, on the contrary, it results in strong soft budget constraints, weaken debt's discretional governance role, lead to rent behavior and deepen shirking of creditors, managers, debtors and other stakeholder. As a result, if two contradictory of corporate economy responsibility and corporate social responsibility, agriculture innate frangibility and capital profit-seeking can not be solved perfectly, the policy of push agriculture development through listed companies will not realized in the measurement of capital. Accordingly, suggestions had been put forward from the point view of government and enterprise.