Research Of Inner Motivations On Financing Preference And Capital Structure Of Listed Cultural Companies In China

In recent years, as a low-carbon industry,cultural industry flourish in our country. The launch of relevant national policies marks the development that cultural industry has risen to national strategies, and also the key strategic period. The development of a industry is inseparable from the support fund. With the features of high-risk high-growth, light-asset,weight-creation, there are a series of problems in the traditional financing of cultural industry.From the beginning of last century, the study on financing preference emerged. Study found that foreign capital structure theory can not be verified in our country, our country’s listed companies are more preferred in equity financing.While the foreign mature listed companies tend to put equity financing as the last resort financing option, because they think the source of financing and debt financing are better than equity financing.In this paper, firstly, there is an empirical test on financing preference of China’s cultural industry listed companies, demonstrating that their preference for equity financing. Then followed by a regression analysis on the formation of the cultural factors that affect the capital structure of listed companies.In the explanatory variables, the two explanatory variables-profitability and liquidity have very good explanation of the effect, both at1%significance level. Collateral value of the assets and the growth rate of corporate only explain assets and liabilities rate,at significance level of5%. The variable that proportion of state-owned shares’s impact is consistent with the explanatory variables, both at the5%significance level.But the product uniqueness does not significantly affect the leverage level of enterprises. Though empirical results, the paper provides recommendations from both the government and the market to build our cultural industry financing system.This study of cultural industries makes up a relatively blank financing preference studies. At present, China-related research financing preference of listed companies and capital structure is more abundant, few studies are done in this particular areas for emerging cultural industries. Current research on cultural industries are mostly theoretical aspects of the analysis, the financing bottleneck cultural enterprises are mostly statistical data, the lack of empirical research on it. In the empirical study, this paper combines a variety of research methods to quantify the logistic model by building and financing preference, while incorporating the company’s profitability, liquidity, growth and other indicators as control variables, so that the final results are more accuracy.