| Effective investment is the main factor in the company’s growth and the foundation of the future cash flow growth,it is also an effective way to promote economic growth.However,the listed companies widespread inefficient investment behavior in our country,not only caused enormous waste of resources,but also hindered the healthy and sustainable development of social economy seriously.The core question of the dividend policy is how to balance the relationship between income distribution and sustained growth which in order to maximize the enterprise value of the financial goals.A large number of studies at home and abroad have shown that dividend policy can ease the agency conflict and improve the efficiency of the investment behavior of listed companies.Chinese capital market development is not perfect,the listed company’s dividend distribution policy shows the characteristics of low group,less dispatch.Dividend distribution policy has gradually become the focus of attention by investors and regulators.China Securities Regulatory Commission(CSRC)issued “Listed Company Supervision Guidelines No.3-cash dividends of listed companies” in 2013 aimed at improving the current situation of the cash dividend distribution policy in our country which are not standardized.The guidelines divided the listed company into two phases including growing phase and mature phase with differentiated dividends regulatory policy.In this view,the paper study the effect of dividend policy on the investment efficiency at different life cycle stages of listed companies in China,so as to provide reference to promote the efficiency of corporate investment.Firstly,this paper reviews and collects the lastest research on efficiency of investment and dividend policy and enterprise life cycle at home and abroad,points out the shortage of the existing research in China.Secondly,taking asymmetric information theory,principal-agent theory and dividend agency theory as its theoretical foundation,illuminates the harness effect of dividend policy on investment efficiency.Applying enterprise life cycle theory to analyze the impact of dividend policy on the efficiency of investment at different life cycle stage,the thesis puts forward the relevant research hypothesis.Thirdly,taking the date of Shanghai and Shenzhen A-share listed companies from 2011 to 2015 as research samples,uses multiple regression method to test the influence of dividend policy on the investment efficiency.Adopting the method of comprehensive index to divided the total sample into growth and maturation,test the difference influence of dividend policy on the investment efficiency at different life cycle phase further.Finally,according to research conclusion,we propose appropriate policy recommendations.This paper draws the following conclusions.Firstly,under-investment and over-investment exist at the same time on China’s listed company.The under-investment proportion in growing listed companies is higher than the mature firms,the over-investment in the listed company of mature period have higher percentage than growth firms.Secondly,with the whole samples,dividend policy is negatively related to the under-investment,positively related to the over-investment,shows that cash dividend policy can produces certain governance effect on the efficiency of investment.Thirdly,considering the different life cycle stages of development,the growing firms forgoing dividend payments helps to mitigate under-investment,whereas the mature firms distributing its free cash flow in the form of dividends restricts over-investment.For the conclusions of research,this paper puts forward corresponding measures and suggestions for regulatory authorities and listed companies.They are formulating reasonable dividend policy,perfecting the relevant legal system,strengthening market information disclosure,broadening the financing channels. |
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