Zhe-Fan Piao
School of Finance, Zhejiang University of Finance and Economics, 310018, Hangzhou, China
Le Zhang
School of Finance, Zhejiang University of Finance and Economics, 310018, Hangzhou, China
ABSTRACT
Based on the theories of investment and finance decisions, this study analyzes the influences of financing decision, dynamic investment on the value of enterprise property empirically. Learn from Leland (1994), Sundaresan and Wang (2007), we use a sample of 380 Chinese listed companies in manufacturing during the period of 2003-2011 and find that: (1) Compared with the Non-SOEs, SOEs with lager size, higher profitability and better operating environment are easy to bank borrowing and equity finance; (2) Volatility of companys price and changes of asset loss rate significantly affected the value of enterprises property, especially the loss rate; (3) non-SOEs can make better decisions of investment and finance than SOEs, with a better level of reach their goal of property value (67, 87%).
PDF References Citation
Received: August 06, 2013;
Accepted: November 08, 2013;
Published: November 13, 2013
How to cite this article
Zhe-Fan Piao and Le Zhang, 2013. Financing Decision, Dynamic Investment and Enterprise Property Value: Evidence from Chinese Listed Companies in Manufacturing. Journal of Applied Sciences, 13: 5318-5326.
DOI: 10.3923/jas.2013.5318.5326
URL: https://scialert.net/abstract/?doi=jas.2013.5318.5326
DOI: 10.3923/jas.2013.5318.5326
URL: https://scialert.net/abstract/?doi=jas.2013.5318.5326
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