Internal Capital Markets Existence And Efficiency Study

Economic resource allocation need to pursue efficiency. Capital as akind of economic resources, how will the efficient configuration inmodern economic development is especially important. Internal capitalmarkets since the early1970s theory of foreign was put forward aftersince, has become a new foreign academic research, the researchgradually standardized. Especially along with the enterprise merger andreorganization of the wave and the rise of diversification strategy, internalcapital markets gradually become the important link of the social capitalallocation, the importance of no less than external capital market, has nowdeveloped into explain the key internal capital allocation theory. Inresearch in the field of internal capital market, and Chinese scholars isstill in the initial stage, lack of complete system of research.The early reform and opening up, the Chinese government payattention to enterprise group in Asian countries in economic boom playsan irreplaceable role, to realize the competition ability of the enterprisegroup can reflect a country’s comprehensive economic strength, soattached great importance to promote group expansion, through mergersand acquisitions, restructuring of the enterprise group established meanshas grown to become the dominant force in the national economy. Someassociated trade promotion fund allocation efficiency and relieve theenterprise’s financial pressure, but also some related transactions are also "tunneling" signs, group affiliated listed company is only for the group"blood transfusions machine". To this kind of phenomenon appearance,based on the analysis of the present situation of financing group, and theinternal capital allocation efficiency influence factors and groupperformance after compared before and after, and concludes that thecreation of internal capital markets ability is one of the most strikingfeatures of enterprise group, internal capital markets for capital allocationgroup provides convenient, but the existing of internal capital marketscapital allocation efficiency is not high. With universal group example forthe enterprise group’s internal operation of the capital market. In-depthstudy universal group internal capital markets relieve financingconstraints function and capital allocation function, benefit to furtherstandardize its internal capital markets behavior.At the same time, broadening the internal capital market researchfield of vision, it can more rich on corporate governance research contentand implementation of enterprise multi-stakeholder maximization.Construct effectively the enterprise group’s internal capital markets, itwill become effective financial system arrangement.