Research On The Motivation And Economic Effect Of China Resources Micro's Return To A-share

As is well known,the domestic capital market in China emerged relatively late,and in comparison with foreign capital markets,the early entry barriers for the domestic capital market were more strict,and the review system was more rigorous.At that time,many Chinese companies were discouraged from entering the domestic capital market and chose foreign capital markets to quickly meet their funding needs.In recent years,with the improvement of the listing system,the optimization of financing structure,and the strengthening of regulatory policies,the Chinese capital market has been increasingly perfected.However,there are drawbacks to foreign capital markets,such as high costs to maintain a listing and malicious manipulation by short-selling experts.Therefore,in 2019,the Shanghai Stock Exchange established the Science and Technology Innovation Board,which has attracted many innovative and technology-driven "red chip" companies to return to the Chinese capital market.This article takes CRML(China Resources Microelectronics Limited),the first redchip company to be listed on the STAR Market,as an example to explore the motives,paths,and effects of red-chip companies returning to the Chinese capital market.Firstly,based on a systematic review of relevant domestic and foreign literature,this thesis decomposes the prerequisites for CRML ’s listing on the STAR Market,and summarizes the process of its listing.The thesis then analyzes the motives behind CRML ’s return to the A-share market,mainly influenced by the difficult situation in the US stock market and the country’s strategy and policy promotion for scientific and technological innovation.To enhance liquidity,financing ability,valuation level,market value management,company quality,and enterprise development capability,CRML chose to return to the STAR Market.In addition,the thesis evaluates the effect of CRML ’s return to the market from the perspectives of corporate governance,market value,and financial ability.The results show that after successfully returning to the domestic capital market,CRML ’s company valuation has significantly increased,governance level has improved,research and development investment has increased,brand value has been enhanced,market share has steadily increased,asset management efficiency has improved,financial ability has been strengthened,and performance has been faster and better,demonstrating strong development capabilities.The successful return of CRML to the A-share market provides an important case study for exploring the motivation,path and effects of red-chip companies returning to the Chinese capital market.It also has certain reference value for improving the institutional framework of the Chinese capital market and enhancing its competitiveness.Moreover,it provides practical experience and enlightenment for other red-chip companies planning to return to the domestic capital market.With the continuous reform and improvement of the Chinese capital market,the return of red-chip companies to the domestic capital market has become a trend,which helps to enhance the internationalization of the Chinese capital market,strengthen the international competitiveness of Chinese enterprises,and promote the healthy development of the Chinese capital market.