Institutional Environments, Political Connections And Private Enterprises Debt Maturity Structure

Private enterprises play important position in China’s economic development, while China’s economy is in a transitional period, private enterprises are facing with special financing environment. Many private enterprises are meeting difficulties in financing, higher short-term liabilities, the larger issue of liquidity risk, improve the financing environment of the private enterprise for reasonable debt maturity structure to create conditions for an urgent practical problem. The debt maturity structure is analyzed from the corporate governance characteristics and internal factors. In China’s transition period, domestic researchers began to study the impact of government intervention, the legal environment and regional development of financial markets in different institutional environment factors on corporate debt maturity structure, but little in different parts of the institutional environment of political relevance of debt the impact of the term structure.In this paper, the Chinese private listed companies in2006to2010as the research object,research and institutional environment and political association, and political association in the institutional environment on the debt maturity structure of private enterprise. This paper as follows:Chapter1, Introduction.This chapter briefly describes the background and significance of this study and the main content.Chapter2,Literature Review. Literature review of the literature review of the debt maturity structure influencing factors, the political relevance of debt maturity structure literature review, the institutional environment on the debt maturity structure respectively.Chapter3,basic concepts and theoretical basis. This chapter on the debt maturity structure, institutional environment, the concept of the political association defined and the basic theory, system theory, rent-seeking theory and relational capital theory.Chapter4, Institutional environment, political association and private enterprise debt maturity structure of the status quo. Fan Gang and other prepared Chinese market index market, financial development and legal environment index to analyze the institutional environment in which private enterprises in China, and statistical analysis of China’s private listed companies to build the status of political association. Statistical analysis such as asset-liability ratio, the proportion of non-current liabilities and current liabilities and current liabilities and non-current liabilities of the internal structure of the current debt structure of private enterprise, have an understanding of the status of the overall situation of the private debt maturity structure.Chapter5, Empirical Analysis. Regression model was established on the market level, the level of financial development, the level of the rule of law and political relevance of the impact of debt maturity structure of the regression analysis, and institutional environment and political relevance cross the maturity structure of debt regression analysis, and the regression results are described.Chapter6, Conclusions and policy recommendations. This chapter summarized the findings of the study, according to research findings, policy recommendations to improve the debt maturity structure of private enterprise to create a favorable financing environment.The main contribution of this paper:our country is in a special transition period, not only examine the environment of the private enterprise system in which test the impact of the political relevance in different institutional environment for corporate debt maturity structure of corporate debt maturity structure and private enterprises in for long-term debt financing to face institutional difficulties to find the empirical evidence, and enrich the study of the maturity structure of debt.The lack of this paper:the use of environmental data may lag in the regression analysis used cross-sectional data from a static perspective of the institutional environment and political relevance of debt maturity structure of private enterprise.