The Impact Of Corporate Financialization On Corporate Operating Efficiency

Real economy is the foundation of the healthy development of national economy,but there are many constraints in the operation and development of the entity enterprises.The rise of production costs,the lack of endogenous development power and the increase of unstable factors in the external economic environment have brought problems to the development of entity enterprises.At the same time,with the rapid expansion of finance,real estate and other virtual economic fields,the high rate of return attracts a large number of capital inflows,and real enterprises also join them one after another.There is a tendency of "emphasizing falsehood over reality" and "disenchantment from reality to falsehood" in economic development.From the micro point of view,non-financial enterprises are keen to purchase financial assets in the hope of obtaining high returns,and the proportion of financial assets allocation keeps increasing,leading to the gradual deepening of the trend of corporate financialization.This phenomenon is whether good or bad for the development of entity enterprises?What is the influence of corporate financialization on the operation efficiency of enterprises?What is the influence mechanism?This thesis carries out research on this topic.With the existing literature,this thesis analyzes the financialization of enterprises,financing constraint and operating efficiency respectively.Based on extensive reading of the literatures,this thesis connects the above aspects and explores the theoretical logic and internal mechanism of corporate financialization on operating efficiency from the perspective of financing constraint.This thesis selects panel data of non-financial and non-real estate enterprises in Shanghai and Shenzhen A-shares from 2008 to 2020.This thesis selects the fixed effect model as the benchmark model to empirically study the impact of corporate financialization on corporate operating efficiency.The regression results show that corporate financialization has an inhibitory effect on corporate operating efficiency.The allocation of financial assets by enterprises squeezes productive investment,which is not conducive to the development of the main business and has a negative impact on the corporate operating efficiency.This thesis constructs KZ index to measure financing constraints,and refers to the intermediary effect test method proposed by Wen Zhonglin and Ye Baojuan(2014)to explore the mechanism of corporate financialization inhibiting operating efficiency.The empirical results show that financing constraint plays a partial intermediary role.Enterprise allocation of financial assets will increase financial risks,improve the financing constraints faced by enterprises,increase the financing cost of enterprises,and then reduce the operating efficiency of enterprises.In addition,there are heterogeneity of ownership,industry type and regional characteristics in the inhibition effect of corporate financialization on corporate operating efficiency,as well as lag effect of corporate financialization on operating efficiency.Based on the above research conclusions,this thesis puts forward specific suggestions from the perspectives of the government,financial institutions and enterprises.The government should continue to guide the healthy development of the real economy,enhance the ability of finance to serve the real economy,and create a good financing environment for real enterprises.Financial institutions shall supervise the flow of post loan funds of enterprises to ensure the rational use of funds.Enterprises should correctly understand the relationship between the allocation of financial assets and the development of main business,optimize the asset structure,rationally allocate financial assets,give priority to the main business and pay attention to the long-term development of enterprises.