The GEM Company's Growth Research

Since the reform and opening up, China's private enterprises developed rapidly, and in the national economy looking more and more important role to play, but also in creating jobs and technological innovation is increasingly important. Therefore, China's private enterprises have become a society and an important force for economic development. However, a long time, due to various reasons, mostly with small and medium private enterprises, mainly in terms of finance and growth are facing enormous challenges, especially in the financing.Effective solution to small and medium enterprises, especially those with rapid growth potential of SMEs financing, our study GEM and Nasdaq Stock Market, after more than a decade of deliberation and repeated study in 2009 launched the Growth Enterprise Market, the financing problems of SMEs open up a new way. October 30,2009, China's Shenzhen Stock Exchange GEM finally listed on the first 28 listed companies, the company successfully listed on the GEM, and began a time of GEM, a large number of SMEs in our country, especially small and medium sized high-speed development of science and technology enterprises offers great financing opportunities and development opportunities.Ended March 2011, China's Growth Enterprise Market has been open for nearly year and a half, the number of listed companies from the initial rapid development of the recent 28 to 58, and the numbers increased by nearly 7 times, but the numbers are rapidly rising market A total amount of up to several hundred billion financing for the rapid development of these SMEs financing provided a rare platform. However, from the current share price of companies listed on GEM and company performance, there are still many problems, a typical listed company's share price is too high, the valuation is too high, price-earnings ratio is too high, the atmosphere is much larger than speculative investors, investment considerations, companies with high high-tech science and technology remain to be improved, the company's growth is questionable, and other issues, and for investors and management concern is the high price and high valuation of the Growth Enterprise Market listed under the company's growth problems, just from the simple company returns, the current growth of companies listed on GEM is obviously inadequate, and some even lower than the motherboard market. Has been published in the GEM 2010 Annual Report of disclosure, only has 13 listed companies on GEM as expected level of growth, accounting for less than 10%. Description of the growth of companies listed on GEM of the enormous problems still exist in high and high stock prices and the high valuation in the context of the issue price, will hit the majority of small and medium investors confidence.Through literature analysis also found that the current theory on the company's growth outcome of the research literature more, but for growth targets not yet recognized the authority of domestic and foreign. More growth targets around the literature to analyze research, and for the growth of companies listed on GEM of the study, more domestic and foreign literature. But it is worth noting that the domestic growth for the analysis of the GEM literature especially for the growth of the GEM empirical literature is more of Hong Kong GEM listed companies and research, mainly due to the beginning of a more GEM late reasons, but in mainland China on the current growth of companies listed on GEM less empirical literature, related research is not much.In this context, China launched the growth of companies listed on GEM research is meaningful and necessary, and because of the stock in the institution-building in the financial market is still immature, especially relative to the complete terms of the U.S. stock market system. Therefore, in this background, China's stock market GEM listed company in many ways are worthy of further analysis and research. Current investment in companies listed on GEM generally characterized by high valuations, high issue price, high price-earnings ratio and growth is not high enough. For GEM listed companies, an important basis for supporting the stock price is the listed company's future growth, therefore, the GEM thesis that our growth of listed companies promote rational investment for the GEM has a very strong background and theoretical value. On the growth enterprise board to provide theoretical support for the healthy and orderly development.To this end, around the GEM's growth factors, identification, analysis and evaluation to analyze research, first conducted the relevant concepts and theories of definition and analysis, objective and comprehensive evaluation of the GEM Chengzhang lay a theoretical foundation. On the basis of the Growth Enterprise Market and company interaction between growth, the company's growth is proof of the Growth Enterprise Market of development. Then based on research results at home and abroad, put forward hypotheses and, through questionnaire survey and regression analysis, empirical test of the original hypothesis. Based on the above listed companies on GEM characteristics and the analysis of growth factors, taken by the company in Shenzhen GEM samples, the implementation of the Growth Enterprise Market listed companies in China the growth of empirical test.For empirical analysis, selected topics listed on the Shenzhen GEM data for 58 listed companies as samples, the empirical test of its growth status. Sample selection of the basic conditions are:(1) As of March 10,2011 listed more than one year to a year or companies listed on GEM; (2) During this period, the company did not occur into the phenomenon of asset restructuring or asset to be internal growth and external growth separated.The empirical results show that China's growth companies listed on GEM Board of slightly higher than the listed company has a growth advantage, but because of high valuations and the speculative high price a result of its growth has been severely overdrawn on investment are concerned, has deviated from the investment value of the track. At the same time various growth factors for the regression results show that the growth of companies listed on GEM and the market rate for the technical inputs of great dependence, which is the nature of companies listed on GEM compatible. Further verify the high-tech companies listed on GEM characteristics. Regression results also found that the growth of companies listed on GEM technology into the market level and the dependence is very large, especially for technical input to the part, which is listed on the GEM as the leading company has a lot to science and technology, high-tech as the main driver of the company's growth, while the market's contribution to the growth of the company is very large. As for corporate governance, industry boom and the impact of policy support is relatively small, the net assets of the impact of the growth is not great.The foregoing analysis above, the subject of innovation is mainly manifested in two aspects: The first is the growth of companies listed on the GEM index regression analysis and empirical aspects. There is no growth of listed companies in China Indexes literature Positive results of regression analysis, the paper used in the form of the questionnaire index for the growth data and the validity, reliability, and regression analysis to obtain a more scientific of the embodiment of our business Listed Companies Growth Index;Second, the GEM in the empirical aspects of growth. Thesis of 58 GEM index of corporate data on the growth regressions. Regression results for further scientific evaluation of GEM listed companies and the investment value of companies listed on GEM of the norms, is bound to have some reference value and significance.Overall, the thesis has strong theoretical value, there is no more complete current domestic companies listed on GEM to our growth-oriented research, there is no empirical analysis of the relevant literature and conclusions. Thesis of GEM listed companies meet or exceed one year sample data of listed companies for the empirical analysis and conclusions have a strong theoretical and practical significance.However, due to personal knowledge and time reasons, subjects in the study, there are still many limitations and shortcomings. Mainly in the shorter time to market because the market reasons, the paper's regression equation for the macroeconomic environment, the test does not meet expectations, since only one year's time, the paper selected GDP variable becomes a constant, can not complete the inspection task In addition, factors related to return to the process of selection is not yet very comprehensive set of variables and alternative variables are also a great selection of space. Hope that the experts for their valuable advice, but also hope in future efforts to improve work and study.Paper uses empirical research and normative analysis combined with analysis and comparison correspond to sum up the unity of theory and practice are derived, qualitative and quantitative research methods the test match.