Research On The Internal Influencing Factors Of Financing Preference Of Listed Companies On GEM In China

In the context of the new normal of China’s economy,GEM strongly supports the development of strategic emerging industries,greatly improving the financing environment for small,medium and micro enterprises,and has played an increasingly important role in serving the real economy.Previous studies on the factors affecting financing preferences mainly focus on the main board market in terms of the selection of research objects.However,GEM listed companies have significant differences from the main board market listed companies in term of internal characteristics.Whether the conclusions of existing studies are applicable to GEM listed companies remains to be studied.Based on this,the internal factors of financing preferences of GEM listed companies are studied through a combination of theory and empirical methods.First of all,by reviewing and sorting the relevant literature,summarizing and briefly commenting on the existing literature,the entry point of the paper is found;secondly,reviewing the mature financing theories,combining with the characteristics of GEM listed companies,and making a theoretical analysis of the internal factors that affect the financing preferences of GEM listed companies,the basis for the research hypothesis of empirical analysis is provided;and then by selecting the companies listed on GEM before December 31 st,2014 as samples,with the main internal factors influencing the financing preferences of listed companies on GEM as explanatory variables,and selecting the corresponding indicators as empirical analysis data,use Excel and SPSS25.0 statistical software to conduct descriptive statistical analysis,factor analysis and ordered logistic regression analysis,and study the impact of the sample company’s financial data in 2017 on financing preferences in 2018;Finally,based on the comparison between the empirical analysis results and theoretical assumptions,as well as the analysis and explanation of the influencing factors,the paper puts forward suggestions that are conducive to improving the financing preferences of GEM listed companies,to promote GEM listed companies to make more reasonable financing choices,and realize the efficient utilization of resources.The research results show that the current financing preferences of China’s GEM listed companies are as follows: debt financing,internal financing,and equity financing.China’s GEM listed companies do not have equity financing preferences and do not follow the pecking order theory.In addition,factors of operational capability and growth capability have a significant positive impact on the financing preferences of GEM listed companies,while factor of debt servicing has a significant negative impact on the financing preferences of GEM listed companies,and factors of profitability and equity concentration have no significant impact on the financing preferences of GEM listed companies.