Research Of The Effect Of Equity Ownership Structure On Firms' Size Of Chinese Listed Companies

Since enterprises came into being, the research of firms' size has become the one of important content of economy. In long term, scholars make plenty of researches about firms' scale from different angles, such as technology, profit, efficiency, transaction cost and asset specific, entrepreneur. The effective scale of enterprise is affected by various factors, for example, subsisting environment, technical conditions, market capacity, competitive state and Industry structure and so on. How to decide the effective scale of enterprises? We have no final conclusions so far. In this article, we will just focus on the influence of equity ownership structure on the firm scale Instead of all restraint conditions.Firstly the paper compares scales of 500 enterprises at home and abroad, so we can find the necessary of study on firms' size and the key to equity ownership structure. Secondly, I analysis the mechanism of equity ownership structure to firms' size from straightness and inside. On the base of these, a abecedarian demonstration analyze on the effect of equity ownership structure to scale is made by using financial datum of listed companies in 2003. The analysis discovered that the stimulative action on equity ownership structure to scale is absence. Finally the paper table proposals for optimizing development of firms' size at present such as innovation on equity ownership structure distribution, enhancing centralized level of equity ownership structure, etc.On the other hand, this is only from the angle of equity ownership structure, so we can not deny china is being in transition period, and the Influencing factors of enterprise scale is more. Therefore we cannot accomplish all study from each aspect. Even for equity ownership structure, reform is concerned with numerous contradictions, and we must study hard in many aspects, and then can cultivate large-scale enterprise to strengthen entire economic level. So in any case, the study about firm scale will be one formidable program.