Strategic Reason Or Financial Need?

Cross-shareholdings in the development of our country originated in the early90’s,in1999China’s first appeared a significant share of their cross-shareholdings--the listed company liaoninginto guangfa security are each other between the second largest shareholders. With the continuousimprovement of the modern enterprise system, equity structure become increasingly complex,make the current our country companies are getting into a higher risk of m&a period, capitaloperation way and the technique emerge in endlessly, thus adding to the stock market to thesupervision of the capital operation difficulty.At present, our country for the cross-shareholdingsresearch is still in its beginning stage, at the same time, with other countries and regions betweencompany cross-shareholdings in comparison, the listed company in China between various forms,with previous experience can’t summarized. This paper of China’s listed companies the research ofthe motives of cross-shareholdings, of the listed company, and the development of capital marketstandard has the vital significance.Based on the two city Shanghai and shenzhen2004in2009to in all share A listed companyas sample, through the paper analyses of the listed companies in China establishedcross-shareholdings database, and as the foundation. The listed companies in China to draw thecross-shareholdings network diagram。To construct the cross-shareholdings ratio for the model ofthe dependent variable, the listed companies in China to test cross-shareholdings strategicmotivation. Then through the comparison of cross-shareholdings and unidirectional investmentrate of return return to test China listed companies’ motives Through an empirical results and thecomparative analysis, we can conclude, In our country at present A shares in listed companies, andnot the cross-shareholdings stableThe current our country for the cross-shareholdings research has just started, as in the stockmarket of cross-shareholdings behavior appears more and more frequent, involving thecross-shareholdings related data more and more perfect, can through to the typical case studies, onthe model of data continuously explore, listed companies on China’s motivation ofcross-shareholdings further analysis.