Investment And Financing Of Highway Enterprises

Transportation is the foundation of national economy, service industries, is the rational allocation of resources, improve quality and efficiency of economic operation an important foundation is linked to the world of the bond. Early in the 18th century Adam Smith in "Wealth of Nations" on the profoundly pointed out:"In all the improvements in transportation improvements to be most effective History has proved that development of human society, transportation for a country or region's economic and social development.30 years of reform and opening up, making China's infrastructure construction has been an unprecedented development, completely breaking the bottleneck of economic development-the characteristics of poor road conditions. China's highways in recent years has been rapid development, the second highest in the world mileage. Highway industry, thanks to strong government support and preferential policies, while continuing emergence of a group of modern corporate philosophy for business purposes, the highway operator, thus greatly promoting the development of regional economy, but also makes the road Benefits are maximized. However, in the specific management of the emergence of two problems were highlighted:daily operation and when the cash flow business is enormous, but difficult short-term investments, which caused great opportunity cost. At the same time when the need for large-scale investment has encountered financing difficulties, which seriously hampered the long-term development.. Because of the highway is divided by administrative region, highways, basic enterprises in different regions is not related, that is, their development is in the same region, not closely connected to each other. This has resulted in a number of highway businesses for funds, cash and some highway the cost of large enterprises. Therefore the establishment of a unified regional investment and financing mechanism to become the focus of this paper.