Research On The Impact Of Enterprise Financialization On Investment Efficiency

With the development of the financial market,the allocation of enterprise resources has changed,the phenomenon of enterprise financialization has increased,the physical investment has gradually been weakened,and the inefficiency of enterprise investment has also attracted attention.In order to discuss the relationship between enterprise financialization and entity investment efficiency,this paper analyzes the impact of reservoir effect and crowding out effect of enterprise financialization on entity investment efficiency from the theoretical level,relying on the principalagent theory,financing constraint theory and investment substitution theory,and discusses the difference in the impact of enterprise financialization on entity investment efficiency from four aspects: enterprise property rights,industry,growth and scale,as well as the mechanism of entity investment,financing constraint and technological innovation.This paper uses the data of GEM enterprises from 2012 to 2021 for analysis,and the results are as follows:(1)There is an inverted U-shaped relationship between enterprise financialization and entity investment efficiency,when enterprises are underinvested,the reservoir effect of enterprise financialization will alleviate the phenomenon of insufficient investment of enterprises,and when enterprises are over-invested,the crowding out effect of enterprise financialization can inhibit the phenomenon of excessive investment of enterprises,which is conducive to improving the efficiency of entity investment.(2)The impact of enterprise financialization on the investment efficiency of enterprise entities with different characteristics is different,state-owned enterprises are more likely to obtain government support than non-state-owned enterprises,and the phenomenon of entrusted agency is more serious,non-manufacturing enterprises have a shorter payback period than manufacturing enterprises,are less affected by environmental policies,and have more disposable funds to a certain extent,lowgrowth enterprises have stronger demand for market expansion and business development than high-growth enterprises,face stronger financing constraints,and large-scale enterprises have a more complete management system than smaller scale enterprises.The more sufficient funds,it is easier to make financialization behavior,so the financialization of enterprises is manifested as a stronger effect on the efficiency of entity investment in state-owned,non-manufacturing,lowgrowth,large-scale enterprises.(3)Enterprise financialization can affect the efficiency of entity investment by affecting the level of entity investment,financing constraint ability and technological innovation level.The financialization of enterprises is manifested as crowding out the level of real investment and increasing the external financing constraints of enterprises.When the degree of financialization of enterprises is low,the financialization behavior of enterprises will crowd out the investment of the entity to reduce excessive investment,and at the same time help to save funds for future entity investment,thereby improving the investment efficiency of the enterprise entity,but the excessive financialization behavior will increase the external financing constraints of the enterprise,resulting in insufficient development of the real industry and reducing the efficiency of entity investment.Enterprise financialization promotes technological innovation,and technological innovation is an effective way for enterprise financialization to improve the investment efficiency of enterprise entities.Based on the above conclusions,this paper proposes to strengthen financial supervision,control the financialization of enterprises at an appropriate level,strengthen the rational allocation of financial assets by enterprises,strengthen technological innovation of enterprises,and promote real investment.