The Effect Of Government Subsidy On The Performance Of New Energy Industry Enterprises

Through case studies in the context of the impact of China’s economic transformation of government subsidies for new energy generation performance of the company, since in the moment, the company is an important way government grants a financing can not be ignored, many scholars around the impact of government subsidies on company performance We are using different models such as government related degree, company size, etc., on the relationship between government grants and corporate performance between the two empirical studies from different angles, but the conclusions are not very intuitive exhibits in the end government subsidies whether played a timely role.Now, the world is faced with problems of attention and energy issues, in this environment, is to rely on existing industries to new energy industry to further enlarge and strengthen closer, or give up already mature industry thus can not blindly follow the trend State government subsidies given to the emerging industry to play its due role in two issues of new energy-related industry is now faced to the company.Firstly, the government subsidy on the relationship between the company’s perform into the impact of government subsidies to the industry performance of the company, the impact on the performance of companies in different industries both were reviewed. Review study found that foreign scholars for government grants and corporate performance relationship was mostly standing on the macro level research carried out, but Chinese scholars more research from micro-level sub-sectors or add other factors, but whether study abroad Review mostly based on basic empirical research conducted to study the use of case studies is not common.Secondly, the purpose of this study of government grants, as well as related government grants related to basic financial concepts and theories to explain this study introduces new energy industry and the performance of the company. In theory, the government subsidize inputs can enhance the company’s core competitiveness and produce good economic returns, thereby improving the performance of the new energy industry companies. While improving the performance of the company may also promote local employment and increase tax revenue, industrial upgrading, resulting in a good social benefits.Then, by the whole industry to a new energy industry and then to Yinxing Energy Inc. in a logical order overall study the impact of government subsidies on company performance, the paper according to the National Bureau of Statistics issued the "strategic new industry classification(2012)(trial) " classification in the new energy sector, including nuclear power nuclear, solar, biomass, etc. to stocks WIND information system for the selection of the sample under the new energy industry sorted out a total of 137 companies, followed by the use of new energy industry and wherein silver Yinxing company Limited Up to 8 years of data affect my Government subsidies for new energy performance of the company on a case study, the following conclusions:Of this study indicate that government subsidies for the performance of Yinxing Energy Co., produced a more significant positive impact:(1) government subsidy for change Yinxing Energy Co.’s business strategy, the impact of investment direction, timing, can make full use of various resources, to maximize the fight for the national and local governments in project approval, grant funds, policy support tax incentives, technological innovation, technological innovation and other aspects of various types of subsidies and support for government investment incentives, financial development funds and government support funds.(2) When the government grants the dismal performance of Yinxing Energy Inc. fell significantly improve the Yinxing Energy Company Limited’s profit and cash inflow, equity financing through government, government assets into other ways to enhance the company’s competitive advantage and enhance the company’s profitability, enhance the company’s quality and reduce the financial risk of the company. It follows that the impact of government subsidies on Yinxing Energy Company Limited performance is positive.Finally, giving the conclusions and deficiencies of this article.