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The Changes And Selection Of Routes Of Chinese Enterprises' Financial Structure

Posted on:2004-06-29Degree:MasterType:Thesis
Country:ChinaCandidate:L H XiaFull Text:PDF
GTID:2156360092496730Subject:Finance
Abstract/Summary:PDF Full Text Request
From the 1950's,a lot of theories of enterprises' financial structure have put forward that of all the financial methods, enterprises are inclined to select such a route: the first, the interior financing, the second, the credit financing, then the stock financing. With this financial structure, enterprises can maximize their values, optimize their equity structure and administerial structure. These conclusions are in coincidence with the practice of the Occident, whereas as is opposite in China.Nowadays, there are two financial modes in the world, the England-America Mode and the Japan-Germany Mode. The former are prior to the stock financing and the latter are inclined to the credit financing. To obey to anyone of the two modes, or to create a new financial mode in China, that is the question.In this article, the author bases upon the standpoint as a country may select its financial structure according to the maturity degree of the capital market and its financial customs. The author utilizes the theoretical research, and also practical analysis combined to draw up a conclusion that, in China, enterprises' special love financial mode is stock financing, as is on the basis of financing costs and policy system.At last, the author raises the suggestion that a many-faceted financial structure should be established in China in the long run. In the structure all the financial methods should coordinate to each other, and promote the financing efficiency of the enterprises, as ultimately, improves the profit and the value of enterprises.
Keywords/Search Tags:financial structure of enterprises, the order of pecking at food, prior to stock financing, many-faceted financial structure, the convertible debenture
PDF Full Text Request
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