Research On The Improvement Of Capital Structure And Its Influence On The Corporate Performance Of The Real Estate Enterprise

The real estate firm demands for large amount of capital investment,especially in its early project operation stage,that's why it's also called "the second financial industry".As the national economy support,the development situation of the real estate industry is related to the healthy and sustainable development of the related industry,even the whole economic chain.At present,the real estate industry sales continue to refresh record,firms with super large asset scale are constantly emerging,and the whole industry is in a critical period of integration and transformation.Meanwhile,a good capital structure owes a key place for real estate companies to contain the healthy and sustainable development in the transition period.In order to adapt to the changing market environment and realize its sustainable development,companies must strengthen the comprehensive strength of the enterprise and improve the performance.Therefore,it is meaningful to study whether the capital structure of the real estate enterprise has a positive or negative impact on corporate performance.To research on the improvement of capital structure and its impact on enterprise performance,this thesis selects the real estate listed companies as the research object,based on its annual report data from 2011 to 2015 year.Firstly,this paper gets a glance of the basic situation of the capital structure,and analyses its basic theories about capital structure and corporate performance.Secondly,this paper describes the characteristics of the real estate enterprise and the influencing factors of the capital structure.It also develops a descriptive analysis of the present situation of the capital structure.Furthermore,it puts forward the essential hypothesis need for the study on the impact of capital composition on firm performance,and then an empirical test of the hypothesis is conducted based on factor analysis,and it gets a comprehensive factor score for enterprise performance.The empirical results show that the asset-liability ratio,excluding short-term debt ratio,bank debt ratio is negatively correlated to corporate performance,while there is a positive correlation between the ratio of short-term debt and corporate performance;and there is no significant correlation among the concentration index,the nature of equity index,equity balance index and corporate performance.In addition,the empirical results also show that the enterprise scale is significantly correlated to corporate performance for real estate listed companies in China.Based on the results,this thesis divides the real estate listed companies into the scale of large scale and small scale and in three categories using cluster analysis method,according to the real estate listed companies scale.Furthermore,this paper gets the optimal capital structure for each category using cluster analysis method again,which chooses the factor comprehensive score as the classification standard.Finally,this paper implements its improvement of capital structure,based on the optimal capital structure,and some suggestions are put forward on the optimization of capital structure of listed real estate companies in China.