An Analysis Of The Dividend Distribution Policy Of Enterprises From The Perspective Of Product Cycles

Dividend distribution has become a hotspot in the financial world since the introduction of the dividend-irrelevant theory.Western economists have studied the distribution of dividends for nearly 70 years,and China 's stock market has only begun trials since 1989.There are also many problems with relatively short development times.The irregular distribution of dividends has always been a problem.Some of these phenomena can be studied in conjunction with product life cycle theory,which was first proposed and studied by Harvard University professor Vernon.The theory believes that products also have a life cycle,and divides the product life cycle into four phases: the introduction phase,the growth phase,the mature phase,and the decline phase.The life cycle of Tsingtao Brewery products is obvious,and the dividend distribution rate fluctuates greatly.Therefore,this article selects Tsingtao Brewery for research.Firstly,based on the concept of product life cycle theory,this article divides the product life cycle of Tsingtao Brewery.Based on the financial strategy of each stage of the product life cycle,the dividend policy of each stage of Tsingtao Brewery is analyzed,and the significance of the product life cycle theory to the choice of corporate dividend distribution policy is further explored.Secondly,through research,this paper finds that the dividend distribution policy adopted in the four stages of the life cycle of Tsingtao Beer products basically meets expectations.However,Tsingtao Brewery adopted a policy of high dividend distribution,which conflicted with the financial strategy of product life cycle theory.A comprehensive understanding and analysis of the financial and non-financial factors that can affect the distribution of dividends at this stage,and found that the concentration of state-owned shareholders' controlling equity was relatively high at the time,which led to a higher dividend distribution rate of the enterprise.After getting relief.Not only that,Tsingtao Brewery was refinanced in 2001.In order to meet the preferences of market investors,Tsingtao Brewery also tended to high dividend distribution,but Tsingtao Brewery chose a high dividend policy that was not reasonable.Finally,this article considers that it is meaningful to choose a dividend distribution policy from the perspective of the product life cycle.Based on the analyzed problems,the following suggestions were made: 1.Tsingtao Brewery needs to redesign dividend distribution according to the actual operating conditions;2.Different strategies are needed at different stages of the product life cycle;3.The financing market system needs to continue to improve.