The Research On Stakeholder's Finance

Corporate value is one of the nuclear concepts of corporate finance. The object of corporate financial management is to maximum corporate value. The paper discusses from the paradox of corporate value. It explains the paradox by the theory of stakeholder that based on the theory of the contractual nature of the firm. The nature of the firm is the contractual nexus of stakeholders. Corporate value is the discounted value that stakeholders will claim interest from corporate. Financial contact shows the interest relation between stakeholders and corporate. The performance of financial contract is a process to distribute finiancial resource and influence the sharing arrangement in the future. It's necessary to arrangment financial rights by finance governance for the sake of avoiding the conflict of interest and performing contract successfully. It's the correlativity of interest and the ability of negotiation to determine the position of the owner of production factor in the finance governance. The stakeholder's logic of finance governance explains the rationality of the fact that there are different modes of finance governance. Finance governance would have effective on condition that the interest body,which has the high correlativity of interest and the strong ability of negotiation,become the body of finance governance. Finance governance will evolve because the change of environment will reassemble the correlativity of interest and the ability of negotiation and the stakeholder's fiance governance is the way of evolution. The logic of finance governance determines the logic of financial object and financial policies. Financial object is the identity of institute and technology. The stakeholde'sfinance governance is the institutional basic of corporate value maximization. The stakeholder's logic of financial policies applying to the policies of investments finance and distribution combine the theory and the practice. Finally,the logic of finiancial reformation of state-owned enterprises demonstrates historically the theory of the stakeholder's finance.