Working Capital Policy Of Listed Manufacturing Companies In China Empirical Research

Manufacturing industry is the basic industry of the national economy. Manufacturing companies usually set for production and marketing business into one, and it has the typical characteristics of the companies. To research manufacturing companies working capital policy, not only improve working capital management for manufacturing, but also good enough to make example for other industries. Working capital policy is the principles of the working capital decision-making, and guiding enterprises working capital management. In this paper, the working capital policy of the manufacturing companies has been in-depth theoretically analyzed and empirically researched. This major research work and results are as follows:At first, on the basis of theoretical analysis about working capital policy, the status quo of China's working capital policy, the influencing factors of working capital policy, and the performance evaluation of working capital policy are reviewed and analyzed. As well as reviewed and analyzed the correlation between working capital policy and company's performance review.The second, selected the date of 418 manufacturing companies in 2007 and 2008, and using SPSS software to cluster analyze and regression analyze the date to find out the status quo of China's manufacturing working capital policy and the influencing factors. Most of China's manufacturing companies are sound and moderate type, less aggressive type. The main factors of working capital policy are capital structure,cash flow from operating activities and corporate profitability.Finally,418 manufacturing listed companies are still as a sample, and using SPSS software to find out the relationship between the working capital policies and the business performance. Empirical study conclusion: there's no significant correlation between liquidity ratio, current liabilities ratio, working capital turnover and corporate performance.