Study On The Relationship Between Human Capital And Enterprise Performance Of Listed Real Estate Companies

Real estate has always been the pillar industry and the important driving force for China's GDP for 20 years.In recent years,high housing prices have affected the healthy and sustainable development of the economy.Therefore,the government has adopted a series of measures in order to establish the long-term mechanism for the real estate industry.The real estate enterprises need to change traditional way of relying on land and capital,explore the innovative models,improve the efficiency,and develop core competencesIn the knowledge-based economy society,human capital with the characteristics of heterogeneity and inimitability has become a strategic resource for enterprises,and it is the key for enterprises to enhance their competitiveness.Studying the impact of human capital on enterprise performance has an important practical and guiding significance for improving the operational efficiency of human capital and increasing the corporate performance.The innovation in this paper:most of the studies on human capital focus on the macro-economy.They analyzed the relationship between human capital and the economic growth in a certain country or region.In recent years,some scholars have begun to study the enterprises(such as high-tech companies,manufacturing,etc.),but the study is almost blank in the real estate industry.In this special development stage of real estate,by choosing the listed real estate companies as the object of study and by analyzing three important types of human capital,the paper enriches the empirical study on the relationship between human capital and enterprise performance and provides some forward-looking suggestions based on the characteristics and the development trends of human capital in the real estate industryFirst of all,this paper reviews the relevant literature and the theory of human capital,enterprise performance,their relationship and the characteristics of human capital in real estate companies.Based on these theories,we summarize that human capital has a decisive effect on corporate performance.Then,the paper selects a total of 130 real estate companies listed in the Shenzhen Stock Exchange and in the Shanghai Stock Exchane as the sample to do the empirical analysis.After normalizing all the variables,the empirical analysis was carried out by factor analysis,descriptive analysis,correlation analysis and linear regression analysisIn term of variables,this paper selects 6 indicators including company's earnings per share.ROE(return on net assets).ROA(return on total assets),total revenue,net profit.owner's equity,then uses the factor analysis to get a comprehensive company performance index as the explained variable.Based on the references,taking into account the characteristics of real estate enterprises and the data's acquisition feasibility,the paper uses the professional human capital,managerial human capital and major shareholder human capital as the explanatory variables.Meanwhile,the company's age,size and net cash flow from operating activities and asset liability ratio are selected as the control variables.The analysis shows that the professional human capital has a significant negative effect on enterprise performance.There is no significant correlation between managerial human capital and enterprise performance.The major shareholder human capital is significantly positively correlated with enterprise performance..According to the theoretical and empirical analysis,the conclusions of this paper are as follows:(1)The large shareholders have a positive effect on corporate performance;however,due to the early establishment of real estate enterprises,most of the major shareholders are first-generation entrepreneurs,they will leave the company and need to consider the future succession.(2)At this stage,professional and managerial human capital have not had a positive impact on the performance of real estate enterprises.(3)Enterprise age,enterprise size,cash flow,and asset-liability ratio have an important impact on corporate performance,which means the real estate industry relies heavily on land and capital.In the end,this paper proposes some suggestions:real estate enterprises must pay attention to the government's policies on land and capital,make predictions and good plans;major shareholders could make a succession plan as soon as possible;the companies should fully recognize the importance of human capital;build a learning organization,and improve training effects;build a managerial and innovative talent team.The long-term incentive system should be established in order to solve the principal-agent problem.Besides,the companies should determine a reasonable human capital investment structure and enhance human capital return on investment.