Research On The Impact Of Capital Structure Of Listed Companies In Manufacturing On The Growth Of Companies

Whether it is China with a constantly developing capital market or a Western country with a sound market mechanism,the company's capital structure has been widely used in corporate management,financial management and financial analysis,and has been deeply concerned by academic and practical circles at home and abroad.The growth of a company represents the future value of the company.It not only has a close relationship with the managers and investors of the company,but also has an impact on the overall economy of the country.Enterprises should choose the capital structure suitable for their own development and weigh the ratio of equity capital to debt capital,so that they can give full play to the leverage effect of enterprises and realize the long-term development of enterprises.The capital structure of Chinese enterprises has the characteristics of unreasonable shareholding structure,high asset-liability ratio and lack of flexibility.The total asset-liability ratio of listed companies in the manufacturing industry is lower than that of the whole market,but it is on the rise;the level of current liabilities in the debt structure is high;the proportion of external financing is large,and the proportion of endogenous financing is small.Nowadays,China's demographic dividend is weakening and labor costs are increasing.Compared with foreign manufacturing companies,China's manufacturing companies have insufficient control over the supply chain and their resource dispatching capabilities are not strong.The new round of industrial revolution has evolved into a global strategy.Under the background of "Made in China2025","Made in the USA" and Germany "Industry 4.0",if China's manufacturing industry wants to become bigger and stronger,it will develop from a manufacturing power to a manufacturing power.It still faces the challenge of industrial transformation and upgrading and international expansion,so it puts forward higher requirements for the development of the enterprise itself.This paper first introduces the research background,research significance,research methods and content framework,and carries out a literature review of capital structure and growth,and proposes the innovation of this paper.Secondly,the concept definition of the company's growth and capital structure is defined,and the related research theories of the two are sorted out.The capital structure theory part mainly elaborates onthe modern capital structure theory and the new capital structure theory.The related theories of foreign classics,and expounded the mechanism of the influence of capital structure on growth,laying a solid theoretical foundation for the later empirical research.The research design was carried out after combing the literature and theoretical analysis.Firstly,based on the impact mechanism of capital structure on growth,four assumptions of the impact of asset-liability ratio,long-term debt ratio,commercial credit rate and equity concentration on growth are proposed.Define the explanatory variable as the company's growth.Starting from the debt structure and equity structure of the capital structure,define the explanatory variables as the asset-liability ratio,long-term debt ratio,commercial credit rate,and equity concentration.When constructing growth indicators,13 financial indicators were selected from the five aspects of operational capability,growth ability,profitability,cash profitability and investment income level to obtain comprehensive growth indicators.In order to comprehensively study the company's growth,join the two control variables of the period expense rate and company size.Secondly,the principles of efficiency model,factor analysis model and multiple linear regression model are explained respectively.This paper selects the Shanghai and Shenzhen stock market automobile manufacturing companies listed before December 31,2014 as a sample.After a series of screening and processing,we will get the final 60 companies to study the capital structure to the company growth from 2015 to 2017.After the previous theoretical analysis and research design,empirical analysis was carried out.Firstly,the efficiency analysis of the capital structure to the company's growth is carried out.Secondly,the factor analysis is used to construct the company's comprehensive growth indicators,and the annual growth scores of each company are calculated.Then,the descriptive statistics of the comprehensive growth indicators,capital structure and control variables are respectively calculated.Finally,a multivariate regression analysis of capital structure and growth was conducted,and a robustness test was conducted.According to the results of empirical analysis,it is concluded that: in terms of debt structure,asset-liability ratio and growth are significantly negatively correlated at a significant level of 1%.If the company's asset-liability ratio is too high,it will increase bankruptcy risk and is not conducive to company growth.In terms of equity structure,equity concentration and growth are significantly positively correlatedwith a significant level of 5%.Appropriately increasing the concentration of equity is conducive to the company's growth.At the same time,the study found that the linear relationship between long-term debt ratio,commercial credit rate and growth is not significant,reflecting that the long-term debt of Chinese enterprises fails to constrain the self-interest of corporate managers and reflects the weaker commercial credit.Binding has not effectively curbed excessive investment behavior.Therefore,based on the above theoretical analysis and empirical test,this paper puts forward relevant suggestions from the micro level and the macro level.Finally,the shortcomings of this paper are elaborated and a follow-up outlook is proposed.