A Study On The Impact Of Financial Flexibility On Investment Efficiency Under Different Life Cycles

As an important financial activity of an enterprise,investment efficiency reflects not only the operation and financial operation of an enterprise,but also the distribution of the entire market resources.However,with the development of fierce market competition,enterprises need to get more capital to improve their market competitiveness by improving investment efficiency,so more and more business managers are focusing on financial flexibility.Businesses improve their financial flexibility through idle cash flow and unused borrowing space reservations.Therefore,appropriate financial flexibility can help companies to grasp future favorable investment opportunities and avoid the uncertainty of investment risks,and optimize and enhance corporate investment behavior.Investment efficiency,maximize value.However,as an ever-changing organic entity in the economic market,enterprises are going to experience different stages of trial.Therefore,enterprises must understand their own characteristics so as to correctly locate the life cycle stage,take appropriate measures according to local conditions,achieve business objectives and expand market share.In conclusion,based on the phased characteristics,this paper makes a dynamic research on the role of maintaining financial flexibility from the perspective of improving investment efficiency in order to provide references for enterprises to optimize investment behavior.The key point of this paper is whether financial flexibility can improve the efficiency of investment and what kind of impact it has on the premise of cyclical differences in different life cycles.Therefore,how to scientifically and scientifically divide enterprises in different life cycle,effectively measure the financial flexibility index of each stage and further distinguish the whole and part of investment efficiency is very important for this research.Based on the above theory,this paper reviews the research status of the impact of corporate life cycle,financial flexibility,investment efficiency and financial flexibility on investment efficiency respectively,and defines the relevant concepts,and makes a theoretical basis for the empirical part.The empirical analysis,based on the related mechanism of this hypothesis,will have a special investment and manufacturing investment dependence of listed companies as samples,selects the relevant data of 2014-2016 years,the results from previous studies to determine the research method: sample life cycle stages using multivariate analysis method;selecting the relevant financial indicators to construct a comprehensive measurement system to sample the financial flexibility index as independent variables;from the actual situation of the manufacturing industry under the Richardson model,get the index of investment efficiency of sample by means of regression analysis,the numerical value of the absolute to observe the overall situation of investment efficiency.In order to investment efficiency of sample were studied in detail,then the overall efficiency of investment into underinvestment and overinvestment two trends as the dependent variable;select the relevant control variables to build the model,descriptive,correlation analysis and regression analysis on the above variables.The results are as follows:(1)the financial resilience of enterprises can improve the investment efficiency,and the impact on the underinvestment is more significant.(2)the financial resilience of the growth enterprise has a significant influence on the improvement of the underinvestment.(3)the financial flexibility of enterprises in the mature period has no significant influence on overinvestment.(4)the financial resilience of enterprises in recession can not optimize the investment efficiency of enterprises.