Industry Characteristics Of The Capital Structure Of Listed Companies In China

The industrial characteristics of capital structure are both an important aspect of researching on influential factors of capital structure and a premise of optimizing the listed companies' capital structure. Therefore, researching on it is not only of important value of theory, but also of important value of practice.The thesis mainly researches on industrial characteristics of capital structure of the listed companies in China, through drawing lessons from classic theories of capital structure, adopting proper samples and scientific categorizing standard of industries, and using diverse statistical methods. Here are conclusions as follows: (1) There is remarkable difference in capital structure among the different industries of the listed companies in China. As a result, industry is an important influential factor of capital structure. (2) There is not remarkable difference in capital structure among industrial classes of manufacturing industry. (3) The ratio of assets to liabilities of major industries is lower and tends to increase. (4) The capital structure of one industry is very steady and so is the difference between industries. These characteristics are caused by the industrial differences in the competitive extent, the cyclic stage of life, the level of technological innovation and the profitability etc.Characteristic three reveals that there is an universal phenomenon of fervent preference for equity financing in the listed companies. Although the preference exists objectively, if not limited, it will result in disadvantageous effects to company's growth, corporate governance and the efficiency of distributing resources in capital market etc. For this reason, it is necessary to regulate and optimize the capital structure of the listed companies in China. Given that the preference for equity financing results from imperfection of the capital market and distortion of corporate governance, some measures should be taken to optimize the capital structure of the listed companies in China.