Study On The Diversification&Sustainable Development Of Agricultural Listed Companies

As the backbone of the national economy and the people’s livelihood, agriculture is the highest priority of our country. Due to the particularity and importance of agricultural industry, as well as "three agricultural problems" becoming the focus of the economic development of our country, the development of agricultural listed companies are paid more and more attention.Standing for advanced agricultural productivity, agricultural listed companies are ligament between agricultural industry and capital market, embody the policy direction in promoting agricultural industry. And also, agricultural listed companies play an important role in accelerating the regulation of agricultural industry configuration, pushing the development of agricultural industry, as well as increasing agricultural production and farmers’ income. However, agricultural listed companies have been controversial since1999. On the one hand, agricultural listed companies get lower admittance for capital market, enjoy various financial subsidy and preferential benefit. But on the other hand, agricultural listed companies fall over themselves in diversification, and some even deviated from original prospectus, outspreaded to nonagricultural industries without restraint. It is common occurrences for us to hear non-agricultural investment and transformation of agricultural listed companies. At present, non agricultural listed company is strong enough to counterbalance and compete in the international farm produce market. Instead, they have general poor performance, some even have difficult to maintain business. How to maintain sustainable development of agricultural listed companies become the urgent problem to be solved.About diversification, present research mainly centralized on operating performance or enterprise value, scarcely from the view of enterprise sustainable development. This author holds the view that we should take diversification as a long-term strategy for enterprise sustainable development from dynamic angle. Therefore, this article aims at taking the realization of enterprise sustainable development as the final aim, in order to provide reference for choosing right management strategy, enhancing competitiveness and implementing sustainable development, and furthermore offer help for the development of agricultural industry.First, this paper reviewed some related theories and present condition of domestic and international research;Secondly, the author analyzed the present condition of the diversification of agricultural listed companies, and anatomized the deep reasons in combination with the industrial background;And then, based on the theoretical framework of core competence theory and social responsibility theory, the author reformulated the connotation of enterprise sustainable development, start with which, we established the evaluation index system on enterprise sustainable development. Then the method of AHP (analytic hierarchy process) was applied to confirm index weight.Next, on the basis of the above content, comparative analysis methods and correlation analysis method was used to analyze the relationship between sustainable capability and development diversification type as well as diversification degree.At last, the author give the final conclusion and bring forward4suggested countermeasures.