Research On The Impact Of Manufacturing Enterprise Financial Elasticity On Inefficient Investment

The value of an enterprise is largely determined by its investment activities,which are directly related to the production capacity and profitability of the enterprise.How to invest effectively and reasonably has become the key to the enterprise management decision.In the process of investment,inefficient investment will lead to the failure of enterprise investment to achieve the expected or even harm the survival and development of enterprises.There are many factors that cause inefficient investment,among which the capital situation of enterprises is an important one.Financial flexibility is an index to measure the available capital of an enterprise.Studying the impact of financial flexibility on inefficient investment will help us to understand the relationship between capital and investment efficiency.At the same time,due to the different investment characteristics and investment needs of enterprises with different factor density types,the impact of financial flexibility on inefficient investment is also different.Based on the perspective of factor intensity,this paper studies the impact of financial flexibility of enterprises with different factor intensity on the inefficient investment of enterprises,and hopes to put forward countermeasures to improve the investment efficiency of enterprises with different investment characteristics at the level of capital.In this paper,5980 Manufacturing Listed Companies in Shenzhen and Shanghai are taken as the research objects,and enterprises are divided into three types according to the factor intensity: capital intensive,labor intensive and technology intensive.Through the establishment of the model,multiple regression analysis is carried out on the samples.It is found that the phenomenon of inefficient investment in manufacturing enterprises is common in China,and the financial flexibility of manufacturing enterprises can affect the inefficient investment;the level of financial flexibility has no obvious relationship with the over investment behavior of labor-intensive enterprises,but has a significant negative relationship with the under investment behavior;the financial flexibility has a significant positive relationship with the over investment behavior of technology-intensive enterprises Financial flexibility has no significant relationship with over investment and under investment of capital intensive enterprises.In view of the above research results,this paper suggests that the internal labor-intensive enterprises should do a good job in investment planning,the technology intensive enterprises should pay attention to adjusting the level of financial flexibility,the capital intensive enterprises should constantly optimize the corporate governance structure and investment structure,and the external government departments should also give full play to the role of supervision and governance,so as to improve the investment efficiency of manufacturing listed companies.