Executive Power Of Listed Companies And Corporate Investment Behavior

As a source of rapid economic development,investment plays a prominent role in China's economic development.However,the essence hidden in the macroeconomic high investment and high growth phenomenon is the blind diversification expansion and low efficiency investment of many enterprises at the micro level.The reason is that due to the separation of modern enterprise ownership and management rights,there is a problem of agency conflict between shareholders and managers.In turn,the pursuit of self-interest opportunities to maximize private income drives executives to use their power to alienate corporate investment behavior.Carrying out investment behaviors that are not conducive to the long-term development of enterprises,reducing the investment efficiency of enterprises.Firstly,through the review of related theoretical literatures at home and abroad,this paper defines and summarizes the related concepts of corporate executive power and investment behavior,and then further analyzes the relationship between the two.Finally,Deluxe Family and China Resources Sanjiu are selected.The two case companies conduct research and analysis.This paper divides and measures the dimensions of executive power of Deluxe Family and China Resources Sanjiu,and analyzes the different behavioral motives caused by different executive power characteristics,and how executive behavioral motivation affects corporate investment behavioral and investment efficiency.The research in this paper finds that when the executive power and organizational power of the enterprise executive team is relatively large,it is biased towards the "economic man" hypothesis,the self-interested motive is stronger,and the pursuit of short-term gains is mainly for the pursuit of private interests,such as in order to obtain monetary benefits,reducing job risk,improving salary,etc.,and diversifying investment,intensifying investment inefficiency;when the personal ability of the corporate executive team is large,it tends to the "social person" hypothesis,the achievement motivation is strong,and the pursuit of long-term interests,mainly in order to improve the social reputation and maximize the value of enterprises,special investment is made to further improve the investment efficiency of enterprises.This paper analyzes the impact of different executive powers on corporate investment behavior through multiple case studies,enriches the existing theoretical framework of executive research,opens up new ideas for the study of the influence of executive power on investment behavior,and also increases investment for enterprises.There are certain practical implications for efficiency.