The Study Of Financing Constraints,Financial Flexibility And Investment-Cash Flow Sensitivity Based On China's Listed Companies

Financing constraints problem is an important factor which affecting the organizing and development of all enterprises. The existence of financing constraints limits the enterprise's financing scale, cost and speed, thus affects its business investment. Financial flexibility is the ability for enterprise to prevent adverse impact by appropriate financial arrangements at a reasonable price, timely acquiring and transferring financial resources or use uncertainty of future events to meet the enterprise maximization its value. With the development of economic globalization, even fierce competition between enterprises and the greater of uncertainty faced by the product companies, the value of affecting financing restriction and investment has been highlighted. Thus the studying of how the financing constraints affect the enterprise's investment under the new normal economy and how to maintain and strengthen the enterprise's financial flexibility to ease the financing constraints on the corporate investment is very important to the enterprise to evaluation its financing constraints' degree and financial flexibility's level, for the enterprise to keep reasonable financial flexibility and make proper investment decision.The thesis uses normative and empirical studies to research the investment- cash flow sensitivity problem of listed companies of China from the perspective of financing constraints and financial flexibility. First of all, the thesis studies the papers about financing constraint, financial flexibility and investment- cash flow sensitivity. Second, based on China's a-share listed companies, the thesis chooses and analyzes the data of the sample companies in 2009-2014 by using logistic regression model to construct the financing constraint index and using the sum of cash flexible and liabilities as financial flexibility level. And last, the thesis uses regression analysis to verify the financing constraints and investment- cash flow's sensitivity, financial flexibility and investment- cash flow's sensitivity, financing constraints and financial flexibility's sensitivity, financing constraints, financial flexibility and investment-cash flow's sensitivity. The empirical study shows that Chinese listed companies are widespread investment- cash flow sensitivity. Financing constraints and investmentcash flow sensitivity have positive correlation. There is a negative correlation between flexible financial and investment cash flow sensitivity. Listed companies in our country widespread financing constraints, and maintain a certain degree of financial flexibility, enterprise financial flexibility level was positively correlated with the degree of financing constraints. The higher the financial flexibility's level is, the more significant function by the flexible financing affect financial constraints to the investment- cash flow sensitivity. Finally, based the study, the thesis provides some advice to our country's enterprise to alleviate their financial flexibility and remission their financing constraints by improving the quality of accounting information, perfecting corporate governance and fostering a sense of financial flexibility and etc.