Will Distance Affect The Listed Company Form Of Organization?

With economic development, the degree of social competition heated up, there isgrowing attention to the direction of their investment assets, because people thinktheir money is not easy, no one wants to own propertyinvestment is no guarantee ofthe industry。They use various means to obtain information to make their assets to geta reasonable return。So many other researchers from the listed company’s ultimatecash flow rights and control over the degree of separation has been studied, In thispaper, the distance, four, and four from the interaction term from a new perspectivefor research.This paper use2005-2009data from listed companies, market-oriented indexand the county’s registered capital of the province or city from a distance to study theultimate control of the company’s cash flow rights and the separation of research andput forward two hypotheses. Assumption1: the farther away the listed company areafrom the capital city, the greater the degree of separation of the ultimate controller ofthe control rights and cash flow. Assumption2: When the listed companies were fourmajor audit company, listed companies in areas where the distance from the capitalcity and the final degree of separation of ownership and control of humanrelationships will be weakened. Hypothesis1is based on the degree of separation ofownership and control of people’s control over the final minus the difference betweencash flow rights; Suppose2is the ultimate separation of ownership and control ofpeople’s right to control cash flow divided by the ratio. After multiple regressionfound that listed companies from the region where the distance between capital citiesand people’s control over the ultimate control and cash flow over the separation has asignificant positive correlation, which Assuming a correct assumption made. Whenthe listed companies were four major audit company, listed companies in areas wherethe distance from the capital city and the final degree of separation of ownership andcontrol of human relationships has a significant positive correlation which alsoAssuming a correct assumption made. Robustness test was used to explain variableprymid, it is a dummy variable when the listed company’s control over the ultimatecontrol and cash flow rights separation occurs, take1, otherwise0. to test the model2, When the listed companies were four major audit company, listed companies in areaswhere the distance from the capital city and the final degree of separation ofownership and control of human relationships has a significant positive correlationwhich also Assuming a correct assumption made.The paper is organized as follows：Chapter1is an introduction, briefly explain the background of this paper andthe practical significance of the topics。Chapter2is a related literature review, review domestic and internationalliterature review related to the pyramid structure of motivation research, and finallythe related literature assessment。Chapter3, the assumptions of the theoretical analysis and research, laying thegroundwork for the empirical part，first introduced the related of the location ofexisting literature leads to the topics of specific methods. Calculating according to thetheory of separation of control rights and cash flow rights, And pointing out that thedistance of separation,and made the corresponding assumptions. The empiricalanalysis is to make the corresponding theoretical assumptions for the next chapter.Chapter4, study design, the empirical part of the sample is selection and variabledefinition. First listed companies as a whole system. Pointed out that the situation ofthe selected sample and variable definition. The meaning of specific variables is givenin this article. The final design of the two models, respectively test the hypothesis putforward.Chapter5is pointed out the empirical sample among the many variables, in orderto avoid the multicollinearity of variables, First do factor analysis to eliminate thecollinearity, Then study the affect of the separation of the listed companies,respectively, on the distance from the "big four" interactive multiple linear regressionanalysis. And theoretical explanation, To test the robustness of the assumptionsreferred to, Using logistic regression analysis. Finally remains the separation ofdistance from the "big four" of the interaction terms and two rights significantly.Chapter6is the last chapter, research findings and related recommendations anddeficiencies. Proposed to improve the difficult problem of financing of listedcompanies in China, related systems and methods and policies of the market economic order, regulate listed companies. And pointed out that this article some ofthe defects and inadequacies.In the paper, the author used the following research methods:First, because this article take the listed companies as a unified whole, Therefore,there are more relevant variables indicators. Empirical analysis, then morecomplicated and the results have a certain impact, So we select a few representativevariables. Use them to analyze the separation of cash flow rights and control over. Aslisted companies do not provide the distance of the company located away from theprovince provincial capital. So I measured the distance measuring instruments Baidumap. And the introduction of the "big four" and the distance from the interactivepaper as explanatory variables, to analyze the separation of control rights and cashflow rights.Secondly, the empirical analysis.Because in the analysis of categorical variables,Usually the first multiple linear regression model. To verify the distance from the bigfour and the interaction with the separation of ownership and the impact of distance.And then through a logistic regression model to verify its robustness.Finally, the distance to the big four interaction with the distance of separation ofownership and impact of multiple linear regression analysis. Analysis of the ultimatecontrolling shareholder of the pyramid structure from the perspective of corporategovernance.