The Empirical Study Of Financing Constraints And Enterprise Performance

With the theory of capital structure and corporate investment and financing decision theory research development, financing constraints, its influence on the development of the enterprise management has become the company financial field research hot spot. Under the condition of capital market is not perfect, because of information asymmetry, and the principal-agent cost of financial distress, corporate internal and external financing costs, lead to enterprise facing financing constraints. According to the theory of optimal sequence financing theory, considering investing and financing preferred endogenous financing, the second is debt financing, the last is equity financing. Therefore, when there’re great differences between the internal and external financing environment, facing the financing constraints of their own internal financing ability of enterprise’s performance has a crucial role. Along with our country bank system reform thorough, the enterprise’s external financing environment has changed. Independence bank system after the marketization reform, commercial Banks and the competition between Banks is gradually strengthened. With reduce the task of non-performing loans, the loan of commercial Banks began to change, more credit resources to more profitable ones, ever more dependent on external financing companies in the industry have less access to bank credit. This article in view of the bank system marketization reform since 2002, study the effect of financing constraints on corporate performance.In reference on the basis of previous study, this article database through the screening of Chinese industrial enterprises as samples, using bank system marketization reform as a natural experiment, the bank system reform caused by the changes in financing constraints on the company’s operating performance. The study found that more dependent on external financing industry before the reform inside the enterprise, the bank system after the marketization reform, can receive less bank credit, asset-liability ratio is on the decline. Bank system reform can slow the total factor productivity of enterprises, the growth in net output and per capita wage rise, and promote the enterprises pay more attention to the improvement of profitability. Before the reform of high dependent on external financing companies in the industry, endogenous financing ability is very important to improve enterprise performance. This paper further explore the path of bank system reform affect the corporate performance, before the reform more dependent on external financing industry inside enterprises after the reform of the slow and employment growth in fixed assets, more to the new product research and development, and internal funds in these three respects have smooth effect, stronger endogenous financing ability of enterprise, in the above three aspects of investment has more advantages.