Research On Influence Of Family Succession,Risk Taking And Investment Efficiency

During the past 40 years since the reform and opening up,China's private economy has developed rapidly,and family business as a major part of the private economy,more and more by the practical and academic attention.By 2014 the first generation of Chinese family business"founder" also entered the age of 50 to 60 years old,inevitably faced with the family business to smooth the problem of intergenerational transmission of the problem.And choose what kind of succession,which succession is more suitable for the development of enterprises,has become the focus of family business concerns.This paper analyzes the effect and influence of different successor models on the investment efficiency of family business from the perspective of family business social emotional wealth,and how the different succession patterns have influence on investment efficiency.This paper analyzes the rapid development of family business in China under the background of reform and opening up,and the choice of family business succession is also imminent.Some domestic scholars,represented by Zhao Shuming(2012),divide the succession choices of the family business into three categories:First:the internal successor is the child of the "founder" of the family business,the son-in-law or other family member as the successor;Second:the external successor by the professional manager as a successor;Third:the team successor that the successor is no longer a personal but a team.The risks borne by the enterprises mainly come from the investment projects of the enterprises.Different investment projects will face different risks.Investment decision is one of the big decisions of the enterprise management.Economic theory shows that the benefits and risks exist in the process of enterprise development,and the high risk indicates that the firm chooses the investment with high net present value and higher risk,which makes the possibility of maximizing the enterprise value.The risk-bearing behavior has an important influence on the micro-long-term development of enterprises and the sustainable growth of social macro-economy.From the micro level,help to increase corporate capital spending,improve the enthusiasm of the enterprise,the development of corporate performance,so as to create wealth for shareholders.Moreover,the risk-taking risk,to a certain extent,significantly increase sales revenue growth rate,corporate asset growth rate,Tobin Q value and capital allocation efficiency,which shows that the risk can bring positive value to the enterprise,sustainable development.From the macro point of view,the risk is the long-term sustainable development of social economy,the fundamental source of power.Because the higher risk project is expected to be higher than the lower risk item,it is decided that such investment decision can make the production efficiency of the enterprise and improve the social productivity,so that the social capital will accumulate and eventually raise the level of social development The Investment decision is one of the most important business decisions of the enterprise.On the one hand,the role of investment decision-making in the process of enterprise operation is irreplaceable.Investment is the direct source of the cash flow created by the enterprise.It is the original driving force for the development and expansion of the enterprise.Directly related to the rise and fall of the enterprise,and stakeholders are closely linked;the other hand,the investment environment is uncertain,how to use the funds raised,the use of the results,these questions are no clear answer,and different Investment programs can lead to significant differences in the output of investment.Therefore,how to more effectively develop and implement investment programs,improve the efficiency of investment has become an important issue of concern to all parties.The efficiency of the enterprise's investment shows the ability of enterprises to allocate funds.As the most important micro-subject in society,enterprise 's investment efficiency determines the efficiency of resource allocation in the whole society.Enterprises can reasonably and effectively allocate funds and apply to the production and business.Therefore,investment is one of the most important economic activities of enterprises,improve the efficiency of enterprise investment has always been an important subject of academic research.This paper introduces the characteristics of different successor models,analyzes the influence of different successor models on investment efficiency,and takes the risk taking as the path of its influence on investment efficiency.First of all,this paper puts forward the research background of this paper,analyzes how to choose the successor model and the influence of different successor models on the investment efficiency of the family business.Respectively,the theoretical basis of this paper:social emotional wealth theory,agency cost theory.And also briefly describes the current academic community on the definition of family business and risk and investment efficiency of the connotation and measurement variables.Secondly,this paper analyzes the hypothesis of the correlation between family succession,risk taking and investment efficiency.As the internal and successor to the pursuit of social emotional wealth will have a stronger self-binding and control of the family business have more demand,will avoid excessive investment,but also in the long-term goal-oriented and long-term perspective To avoid the lack of investment,while the external successor will face excessive risk of moral risk to avoid,resulting in inadequate investment,so we believe that the internal successor relative to the external successor that professional manager succession will have a higher investment efficiency;internal successor That is,because of the fear of loss of social emotional wealth,when the business performance is lower than expected when there will be a higher risk,and when the business performance is higher than expected will choose a more stable investment projects,so we think the internal successor will There is a moderate risk,while the external successor will take into account the reputation,the risk of dismissal will form a lower risk;In addition we also discussed the different succession model and investment efficiency may be related to different risk levels To achieve.Secondly,this article through reading a large number of family business literature,and the use of Chinese and foreign research contrast,theoretical analysis and empirical testing methods such as the hypothesis of this argument.Finally,this paper puts forward the conclusion of the test,and puts forward some tentative conjectures for the conclusion of the test,and puts forward the reference value which this article may have for the family business.Due to the limited level,we can not make a more detailed and comprehensive analysis of the field research,the author puts forward some shortcomings and limitations of this paper.