Empirical Research On The Enterprise Financing Efficiency Within Liaoning Coastal Economic Zone

Liaoning coastal economic zone, located in the important position of the Bohai Sea region and the key areas of Northeast Asian economic zone, is characterized by excellent resource endowments, industrial strength and well-developed transportation system. Therefore, accelerating the development of this area is of strategic importance to revitalize the northeast old industrial base, improve the layout of our coastal economy, promote coordinated regional development and expand its opening up.First, from a micro view, this thesis intends to analyze the financing rate efficiency of the coastal economic zone in Liaoning through studying the data of individual enterprises, so as to reveal the factors which affect financing. Second, this thesis studies the enterprises of the coastal economic zone in Liaoning and combines the financing rate with the development of the coastal economic zone in order to provide beneficial references for the development of this region and to provide models for studying the economic development of other regions.On July 2009, the development of Liaoning coastal economic zone has been elevated to a national strategy. Since then, the development of enterprises within it has become a lasting public concern, of which financing, crucial to any individual enterprise, has been the hot spot. As is known, lower financing efficiency affects directly the profitability level of enterprises, the rate of return to the investors and thus the investing confidence, which will in turn constrain the further development of the enterprises. It is quite true of the Liaoning coastal economic zone. The relatively lower financing efficiency has become a menace to the sound and steady development of capital market and the further exploration of this area. Currently however, while seeking solutions to such a problem, most Chinese scholars are focusing on the external factors such as how to improve the financing environment, how to perfect capital market and how to better relations between banks and enterprises:not much concern has been shown to the utilizing efficiency of the financed capital from the microscopic perspective of an individual enterprise. However, it is common sense that the process of financing includes two aspects: the smooth and efficient integration of the capital and more importantly, its utilizing efficiency and lending out, which is currently having a real impact on the development of enterprises in China. Therefore, it is of both theoretical and practical significance to make an microscopic analysis of the enterprise financing efficiency within Liaoning coastal economic zone.The thesis, taking 39 listed companies within the coastal economic zone as samples and DEA data envelopment model as a tool, makes an empirical study on the enterprise financing condition of the year 2007 and 2008 within this area, from the perspective of the trend of financing efficiency, its returns to scale, the capital structure and business assets. It comes to the preliminary conclusion that financing efficiency of the listed companies within such a zone is relatively low and most of the companies under study are apparently non-efficient ones, which shows an obvious gap to both the optimal output results under the current circumstances and a certain gap to enterprises of the same level in Jiangsu coastal economic zone.The thesis has been divided into four parts. Part One introduces the theoretical research on financing from both China and overseas. In Part Two, the thesis makes a theoretical study on the exploration of the coastal economic zones and elaborates on the development of major coastal economic zones at home and abroad. Then, based on the main financing theories within the academic circle, it conducts a study on financing theories from the standpoints of the essence and methods of financing. After that, the thesis discusses the enterprise financing efficiency with the basic meaning of the word "efficiency" as the starting point. At the beginning of the third part, the author gives an introduction of DEA envelopment model and then, by adopting this model, it conducts research on the input-output ratio of the sample companies, with 39 companies from Liaoning coastal economic zone and 16 ones from Jiangsu coastal economic zone as study cases. Information obtained from result of DEA envelopment model, the financial efficiency trend and its returns to scale shows that the financing efficiency from enterprises within Liaoning coastal economic zone is generally not high. Part four is the last part. On the basis of the previous analysis and discussion, the author puts forward her corresponding policy suggestions to the problems stated in Part Three.Based on the development of the Liaoning coastal economic zone, this thesis aims to research on the entities of individual enterprises to provide some references for enterprises and government in general when they make their policy. Since the research mainly analyzes individual enterprise entities based on examples and figures, it shows the latest trend and is fully practicable.The principal contributions are listed as follows. First, from a micro view, this thesis intends to analyze the financing efficiency of the coastal economic zone of the Liaoning coastal economic zone by way of a study of the data of individual enterprises so as to reveal the factors which affect financing. Second, thi s thesis studies the enterprises of the coastal economic zone in Liaoning and combi nes the financing rate with the development of the coastal economic zone in order t o provide beneficial reference for the development of this region and to provide m odels for studying the economic development of other regions.