Study On The Economic Consequences Of Investor Relations Management

The United States in the20th century,20-30-s after the economic crisis, the presentcapital market is a mess. In the face of crisis, the company in order to obtain betterdevelopment opportunity, a large number of issued shares to raise funds, therefore theytried various means that can be used to attract the attention of investors, people graduallybegan to understand the necessity of investor relations management. IRM working in theUnited States has experienced more than half a century of development, has been mature.Compared with the United States, the IRM of our country still belongs to a newbornthing, also is not very mature. IRM of our country is only a short time more than ten yearsof development, although after the equity division reform, our country IRM level had thevery big progress, but compared with the mature capital markets such as the United States,there are still many problems. Therefore, this paper discusses the IRM on the economicconsequences of a listed company to enhance the level of our country listed company IRMhas important practical significance.In this paper, by the method of combining normative research and case analysis, firstby normative research expounds the investor relations management for enterprise to bringthe positive impact, then W company, for example, from two aspects of enterprise valueand the cost of equity financing, the economic consequences of IRM in China research andanalysis, and draw the IRM has positive effect to the company. But due to limited capacity,other than the enterprise value and equity financing costs wanting other aspects of analysis,to the improvement and perfection of late.