Study On Correlation Between Capital Structure And Listed Private Enterprises

Since reform and opening, Chinese private enterprises have experienced rapid development. As the driving force of economic growth in China, private enterprises play a very important part in the economic development and job market of China. At present, research on the private economy has been a lot, but the correlation between the capital structure and management performance of private enterprises is not a lot of research literature. Therefore, the study on the correlation between the capital structure and management performance of private enterprises becomes very necessary. whether the changes in capital structure of private enterprise will really affect the management performance? If the correlation exists, the effect is positive or negative?Firstly, this paper describes the basic theory of capital and management performance and the researches of the correlation between capital structure and management performance. Then base on the definition of "private enterprise", the paper makes a brief description and analysis of the status of private enterprise in Guangdong Province. Base on the relevant theory, this thesis uses SPSS to a series of relevant indicators reflected management performance for factor analysis and obtains the comprehensive factor F reflected the management performance of listed private company in Guangdong Province. Finally, taking the comprehensive factor F as explained variable and five capital structure indicators as explanatory variables, the paper uses quantitative analysis to analyze a five-year panel data via Eviews.The main conclusions of empirical studies include:asset-liability ratio and company size have a significant positive influence on the management performance of the sample company; It is a positive correlation between the proportion of circulation stock and management performance; There is no significant correlation between proportion of the largest shareholder and management performance; Ownership concentration has a significant positive influence on the management performance.At the end of this paper, according to the results of the empirical study, we propose some recommendations to optimize the capital structure of private enterprises.