Monetary Policy,Regional Marketization And Cash Cycle

As an important part of the short-term financial management,working capital management involves the procurement,production and sales links of the enterprise,with increasing competition in the market,the management of working capital gradually become an important part of the enterprise which can not be ignored.Effective working capital management plays an important role in improving enterprise competitiveness,expanding market share and increasing profitability.Cash cycle can reflect the efficiency of enterprise working capital turnover,therefore the research of the cash cycle is of great significance.External environment of the enterprise usually affects the operation and management activities and the development of the enterprise,further affect the enterprise's cash flow.Incremental and distributed reform makes the marketization process of the various provinces and cities in our country are not synchronized,this article firstly analyzes the relationship between the degree of marketization and cash flow from the four aspects “government relations,product factor market development degree and development degree of regional legal environment and intermediary organizations” which are the components of the marketization process.Then detailed study the relationship between monetary policy and cash cycle,and the relationship between monetary policy and cash flow in the different marketization process.In the case study,this paper uses multivariate linear regression method in shenzhen and Shanghai stock exchange listing Corporation from 2008-2015 years financial data to do the empirical study.After controlling for the effects of enterprise cash flow of the internal and external factors variable based equations with marketization process variable and the monetary policy variable,both have an significant influence on the cash flow,and further grouping test the relationship between monetary policy and cash flow on the basis of marketization process.In this paper,the research results show that when companies are in a high degree of marketization of region,the cash cycle is shorter;During the period of tight monetary policy,the enterprise cash cycle extended;And compared with the high degree of marketization of region,cash cycle of enterprise in the low degree of marketization of region changes smaller.According to the empirical results,the article considers the decision-making of enterprises in production and sales and business development direction should be fully considered the influence of the marketization process;Focusing on working capital management,combining with the national implementation of monetary policy to adjust the cash turnover days,reducing the negative influence of monetary policy changes to the enterprise.