Research On The Enterprise Financing Motivation Based On Behavior Finance Theory

Enterprise financing, refers to the activities of the enterprises which raise capital cost-effectively as the main funding from financial markets, based on their production, operation, investment and capital structure. Financing of all business activities in the enterprise, it occupies important position, directly affect the survival and development of an enterprise. For a long time, funding is based on the theory of efficient market hypothesis and rational people hypothesis, the main research is about the businesses pursue utility maximization for their own fund-raising activities.However, since the last century, with the development of psychology and behavioral sciences, some assumptions of the theory of the company financial management began to receive more and more suspicion. A series of behavioral economics and experimental economics studies shows that the people are not always rational, and the market is not entirely effective, these theoretical studies raises serious questions about the mainstream financial theory, therefore, behavioral finance theory came into being. It relaxed the assumptions that the market participants are rational human, and added the factors of psychological and behavioral to the research in financial theory, behavioral finance theory of finance began to play an important role in the research, making up the deficiencies of traditional corporate finance, and has become one of the topics at current research.The main contents of the article is about the financing behavior which we analyzed it based on behavioral finance theory , focusing on analysis non-rational behavior and motivations of the financing of listed companies. The impact on financing of enterprises, capital markets and the macroeconomic that cased by the different funding motivation is the most important part of our article , which as a standard to evaluate the pros and cons of corporate financing behavior, digging the source of irrational financing behavior of Listed Companies in China deeply. This funding behavior and motivation will be placed on the analysis of behavioral finance theory, put forward the method of financing to solve this non-rational behavior, and made some other reason to prevent financing of listed companies in China conduct an effective response. Then propose actions and reasonable method to promote corporate finance scientific, as well as to provide effective recommendations to the national macro-policy.Full-text is divided into seven chapters: The first chapter is an introduction. It introduced the background and significance of the writing, and illustrated research methods, research ideas, and the framework arrangements. The second chapter is a literature review related theories, including behavioral finance theory, behavioral finance review and behavior of funding review. The third chapter is a detailed description of behavioral finance theory, including the emergence, initial process and development of behavioral finance theory; the main theory of behavioral finance; and the impact behavioral finance theory on the enterprise. The fourth chapter is about financing behavior and motivation of corporate under the standard financial theory, this chapter first introduces the concept and types of corporate funding, and classification of financing. The fifth chapter is about motivation of the financing of enterprises in behavioral finance theory. This chapter analyzed the motives of enterprise financing activities not in conformity standard financial theory, and analyzed the reasons causing these changes on behavioral finance theory. The sixth chapter is based on behavioral finance theory, analyzed the impact of enterprise financing activities, with the analysis of financial data of listed companies. The seventh chapter is to make a full summary of study and look ahead future research.