Empirical Research On The Influence Of Debt Financing To The Enterprises’ Investment Behavior

As the two basic financial activities of the enterprise, financing and investment areclosely related with each other, at the same time, both are the determining factor of theenterprise value.a central problem discussed in investment and financing is relationshipbetween enterprise management performances. In fact, the debt affect investment behaviorand investment effect is a role of main way of the company’s performance, this also is theprocess of Creditor’s rights management Western scholars have just much researched therelations between of enterprise debt financing and investment, and have made greatachievements, but their research are in background of mature market economy but ourcountry is different with western enterprising the securities market, management structureof corporate, enterprise’s historical background and the current in the economicenvironment.Manufacturing is the material foundation of the national economy and the pillarindustry of industrialization; also it is the fundamental of the social progress and thecountry rich and power. It Not only is in an important position in our country economy butalso plays an important role in the world economy. In2011, China’s manufacturing outputhas more than the US success. Many studies show that there are a lot of the manufacturingefficiency investment behaviors, such as optional change to raise funds, investmenthungry and malicious capital increase, etc.Therefore, this paper selects the debt of China’s manufacturing industry as theresearch object to reach the influence of investment behavior. First of all, based on theanalysis of the research background, this paper expounds the research purpose andmeaning; then, reaching on the reviews of both at home and abroad, finds the point of thispaper; Finally, it selects the data of Chinese manufacturing listed companies from2009-2011, according to the growth,it divided the sample into high growth enterprise andlow growth enterprise, to study how the debt financing in the total sample and twochildren in the sample affects the enterprise investment behavior, and draw the conclusion.The empirical results show that:(1) the proportion of debt in general samples andinvestment spending has significant negative correlation. This shows that debt to ourcountry manufacturing listed company investment behavior has a certain effect.(2) theproportion of debt financing in low growth enterprises with no investment spendingpresent a significant negative correlation,this shows that manufacturing debt financing in low growth enterprise don’t playing its governance role.(3) no matter in the overall sampleor different growth enterprise samples, debt source structure and investment spending alldid not show significant correlation, this shows that Chinese manufacturing enterprise ofthe bank loan did not play their due role of governance.Finally, based on the results of the analysis, it puts forward relevant Suggestions inimproving enterprise financing structure and regulating listed companies financingbehavior.