Research On Listed Companies' Growth Of China's GEM Board

The opening ceremony of China's GEM Board in Shenzhen took place on October 23,2009. The GEM board is aimed at promoting the growth of high-tech SMEs which have the features of high risk and high return.Compared with the Main board,the GEM board's biggest trait is its high growth. Accordingly,investors also pay their attention to the aspect,so how to judge the factors of influencing growth becomes a chief question for investors.This paper selects 30 listed companies as a sample in GEM board for emperical analysis.Firstly, the paper concludes relevant research on enterprise growth from home and abroad;Secondly,it introduces the development of GEM board's companies;Thirdly,according to the research from predecessors and the present situation of GEM board,we set up the indicator system.Fourthly,we use SPSS software with the method of factor analysis to research the growth of companies on China's GEM board. The research shows that risk control,profitability and growth speed are the greatest impact indicators;Finally,the paper offers some suggestions to perfect China's capital market.The study which has important theoretical and practical significance will help the companies on the GEM board to increase growth.In addition,the research findings also can help the investors to look for unvalued stocks.