A Research About How The Factors Influences The Dividend Policy Of The High-tech Industrial Listed Firms

Since the dividend irrelevance theory was put forward by Miller and Modigliani，corporatedividend policies have been subjected to intensive theoretical and empirical investigation for overforty years. In1976, Black proposed “dividend puzzle” making it be the one of the greatestmysteries of modern financial management theory. Compared with Western countries, the dividenddistribution of listed companies in China, whether theoretical or from practice, there is a big gap.To study and solve China’s listed company’s dividend distribution policy, it is to ensure that China’sstock market is more health and more mature. The high-tech industry is an important industry ininternational economic and technological competition. How to use the limited funds and resources,the development of high-tech industry, is an important subject worthy of study. Therefore, thispaper will focus on the development of high-tech industry from a financial perspective, analysis theinfluencing factors of the listed company’s dividend policy, to help them make an effective andappropriate dividend policy, in order to make the enterprises achieve sustainable development.In this paper, the study sample is the data of the high-tech industry listed companies from2005to2009. The samples have a little strong willingness to pay for the dividend, and in the five years, alot of the samples have a better continuity of dividends paid. The cash dividend is the main modewhen the company has made a dividend policy. In this paper, the empirical part is about two aspectsof the dividend policy: whether the payment of dividends and payment in which way. The result isshow that there are lots factors which could affect the dividend policy, like the profitability,solvency, liquidity, operational capacity, growth, equity structure and so on. When the sample hasthe stronger profitability, the stronger operating capacity, the better the liquidity of assets, or thelower asset-liability ratio, it will prefer to pay dividends. When the sample has better growth, thelower the proportion of tradable shares, the dividends paid this year is more lucrative. When thecompany has more net cash flow per share from operating activities, it is willing to pay more cashdividends. When the company has better growth, it is willing to pay more stock dividends. At last,there are some advices about how to help the listed company of high-tech industry to improve thedividend policy in the future.