Compulsory Delisting Of Listed Companies Based On Grounded Theory Research On Key Factors

On December 31,2020,our country carried out a new round of forced delisting system reform.The number of listed companies triggering compulsory delisting in our country increased after reform.This shows the determination of Chinese regulatory authorities to improve the quality of listed companies.It reflects that Chinese regulatory authorities pay more attention to the sustainable operation ability and corporate governance ability of listed companies,pay more attention to the external market reaction,protect small and medium-sized investors and other stakeholders.The implementation of the new delisting rules to fill the gaps in the capital market rules and guide the steady development of listed companies.At the same time,the implementation of the new rules is also conducive to the self-upgrading of the capital market survival of the fittest,and promote the comprehensive deepening of the reform of the capital market.Facing the reform of delisting system,how to avoid forced delisting and improve the management quality of listed companies need more thinking.To discuss the key factors of forced delisting of listed companies is beneficial to provide some suggestions for improving the management quality of listed companies,and provide some improvement suggestions for the companies that are not well managed in daily life or have been delisted.Based on incomplete contract theory,sustainable development theory,information asymmetry theory and stakeholder theory,this paper takes 17 Chinese listed companies that will trigger compulsory delisting in 2021 after the implementation of the new delisting system as the research object,and adopts the grounded theory research method to study and analyze the key factors of compulsory delisting of listed companies.Through the collection of secondary data for the three-level coding and theoretical saturation test of grounded theory,the core categories of the key factors of forced delisting of listed companies are obtained,namely,sustainable business ability,corporate governance and external market response,and then the model construction and mechanism analysis are carried out.Based on the theoretical model of key factors of forced delisting of listed companies constructed above,the key factors of forced delisting of TEAMAX are analyzed.Through the above analysis,relevant enlightenment and suggestions are obtained to restore the sustainable operation ability of listed companies,continuously improve the governance level of listed companies,and timely pay attention to the external market reaction for the reference of listed companies.The paper draws the following conclusions:The theoretical model of key factors of compulsory delisting of listed company consists of three aspects: sustainable operating ability,corporate governance and external market response.The reduction of the listed company’s sustainable operation ability,the confusion of corporate governance and the poor external market response will trigger four kinds of indicators of forced delisting,and then lead to forced delisting.TEAMAX can improve the quality of the company’s operation by restoring the company’s sustainable operation ability,continuously improving the level of corporate governance,timely attention to the external market response.