Research On Financial Influence Factors Of Value Added Of Listed Companies In China

With the continuous economic and social development, maximizingshareholder value as the only goal of the value orientation has been questioned andchallenged. Value added, the main goals of increasing the interests of benefitrelevance person, has received extensive attention. At present, scholars havefocused on the study of theory about value added. However，they rarely involvedthe demonstration and modern data of the listed companies to validate their ideas.This paper conducted an empirical study mainly on the financial factors ofcorporation value added by analyzing the data of listed companies.The main content of this paper is divided into three parts. Firstly, reviewedrelated theories about value added and summed up the representative definition ofthe value added and the method of calculation of value added. Secondly, putforward the research hypothesis and designed model based on studying the classicaltheory of value. Finally adopt multiple regression method for empirical study toanalyze216listed companies dating from2003to2010. The results showed that:the profit ability, development ability, operation ability, the level of risk and capitalstructure is important financial factor to increase value added. Profit ability,development ability, operation ability and cash flow ability have remarkablypositive influence on value added, but the level of risk and capital structure haveremarkably negatively influence on value added. Moreover, the total influencedegree decrease order of value added is profit ability, capital structure, operationability, development ability, cash flow ability and the level of risk.