Research On The Affecting Factors Of Cash Dividend Distribution In China-listed Companies

In modern financial actions, dividend distribution is one of important contents of financial company management. It is also considered a puzzling riddle of the modern financial management. Dividend distribution is the basic policy of allocation of profit surplus. It should aim at the maximizing of shareholder's interests and the balance of the interests between company's present interest and long development.The study on the affecting factors of dividend policies is a vital branch of the research on dividend policies. It provides a 'language' that both the company's managers and its holding shareholders understand, in order to lower the risk of information dissymmetry.Cash dividend is the major form of dividend distribution. Appropriate cash dividend distribution policy can not only set up good company reputation, but also arouse enthusiasm of many investors. In this way companies can acquire good and stable development conditions and more opportunities.Referring to the international and domestic reference, the paper has made the research on the affecting factors of cash dividend distribution in China. This thesis is divided into 5chapters as follows:Chapter 1 Introduction. This chapter introduces the background, purpose and main contents of the paper; defines reievant concepts.Chapter 2 Literatures review. This chapter reviews the international and domestic researches on the affecting factors of cash dividend distribution.Chapter 3 The status quo of the cash dividend distribution in China-listed companies. This chapter describes the present situation of the cash dividend distribution and analyzes the external affecting factors of the cash dividend distribution.Chapter 4 The positive study on the internal affecting factors of cash dividend distribution in China-listed companies. This chapter chooses 241 companies which distribute cash dividend in 2006 as the samples. By empirical study, the paper analyzes the internal affecting factors of the cash dividend distribution in China's listed companies. Then the article gives a series conclusions.Chapter 5 Suggestions and limitation of study. This chapter gives suggestions and analyzes the limitation of study.In the paper, my creative work include: The thesis analyzes the internal and external affecting factors of cash dividend distribution. Using the up-to-date data, the article unites cash flows with the profits to study the internal affecting factors of cash dividend distribution by empirical study. Then the thesis draws a conclusion that the listed companies' cash dividend distribution is influenced by the returns on equity, earnings per share, operating cash flow, liabilities ratio and last year's cash dividend and so on.