Competitive Intensity, Capital Structure And Performance

Along with the development of Chinese capital market, the listed companies play more and more important role in social life. But there are many problems and defects during the course of these companies' development, especially the defects of the capital structure have already restricted the listed companies' further development and made their performance much worse or fluctuated. At the same time, this consequence will also hinder the capital market's development. While how the capital structure influences the performance is ignored to some extent. More prior studies have examined only the direct effects of financial leverage on performance. However, O'Brien(2003) argues that the effect of financial leverage on performance may be contingent upon competitive intensity and the strategy pursued by the firm and researchers note the need for studies that examine the influence of these variables.The paper studies the main line on the relationship between the competitive intensity, capital structure, and the performance, and gradually perfected the study and application of the theoretical system of empirical research methods; using hypothesis testing, correlations and regression , we study the listed companies of manufacturing industry's competitive intensity , capital structure, and the performance, Analysis of the data obtained from the reorganization of achievement conclusions, pointing out that one of the issues and put forward the corresponding recommendations.