Empirical Research The Company’s Reputation For Corporate Finance Ability

Recently a series of questions the credibility crisis after another spate of corporate occurrence ofthese problems enterprises reputation plummeted, along with the company’s share price comes blew out,the company’s products unmarketable, vendors line up to collect debts, banks require early repayment, andeven some companies to the brink of bankruptcy, from Guan Sheng Yuan to Sanlu, from Greenfield toProcter&Gamble’s SK-II, and then have a bright "leather milk" and "meat of thin fine" Shuanghui’scertainly not a painful lesson, related to the company’s reputation rise and fall of corporate life and death,by affecting the confidence of investors in the enterprise and thus affect the capital market financingcapacity. Based on the above background, the ability to study the effect of financing affect the company’sreputation.The main innovation of this paper lies in the A-share listed companies in the real estate industry forthe empirical study samples affect the company’s reputation for corporate finance capabilities, and thus forfuture research to make some useful suggestions. First, introduce the relevant literature on corporate debtfinancing, then analyzes the company’s reputation on the theory and corresponding literature review, thefinal analysis of the relevant literature corporate reputation and corporate finance capabilities relations, good theoretical preparation for the empirical analysis; then by design An empirical analysis of panel datamodel foundation, and then to a sample of listed real estate companies to the reputation of empiricalanalysis of the effect of corporate financing capacity, and finally come to conclusions of this study.By learning and induction, the paper’s reputation by choosing the factors affecting corporate finance,including six explanatory variables and the value of enterprise scale corporate guarantees, growth factors,competitive factors, the relationship between banks, financial performance, social responsibility, effectivetax rates, the first proportion of large shareholders three control variables. This paper selects the2010-2012A-share market listed companies real estate industry, through the panel data regression analysisfound that adding a control variable for enhancing the interpretation of corporate finance capabilities andnot very helpful. Study the following conclusions: reputable companies to investors, its reputation througheffects reputation capital, and thus attract investors to support the size of the enterprise scale indicates acertain degree of reputation for the quality of business, size of business decision diverse businesscapabilities, business diversification and strong enterprise risk diversification can play with a job, and thusthe stronger the corporate debt financing capacity; investors will also consider the growth factor in businessbecause companies with good growth potential, will bring high return on investment, which means goodbusiness growth more easily Dinglixiangzhu external funding; any one investor can not ignore the growthfactor in business for corporate finance and corporate reputation makes sense, because a good growthcompanies with strong market competitiveness, healthy and stable business operations issued a positivesignal to investors and increase investor confidence will increase corporate finance capabilities; goodrelationship between banks and enterprises to help enterprises to obtain bank loans, Enterprise is easy togain an advantage on debt financing; better fulfill corporate social responsibility, the more attractive to companies stakeholder groups, business, the easier to get support from all quarters, and then we can allaspects of corporate performance Better corresponding corporate financing ability is stronger. Strongcorporate profitability, which means good business reputation, will send a positive signal about corporatecredit and surprise to outside investors, the result does not match the assumptions and model checking.Control variables in explaining the ability to explain corporate finance capability is not very strong, andthere may be a very strong control of corporate guarantees linear variable value between explanatoryvariables and growth factors, after adding control variables that were significant levels of growth factorsbecome more not significant; corporate guarantee value to influence corporate finance capabilities is notsignificant, the reason may be that a measure of the value of corporate guarantees to banks for virtuallyguaranteed estimate of the value of fixed assets.Since the research in this article about the relationship between corporate reputation and corporatefinance capabilities at home and abroad belong to the controversial research topic. Taking into accounttheir own research conditions, in terms of research methods and data collection are inevitably subject tocertain restrictions. Therefore, this paper has the following disadvantages: As used herein, the study sampledata are extracted from the financial statements of listed come, but without the support of the relevantdatabases, data collection process will inevitably have flaws, limiting the research paper; measure usedherein Indicators of corporate finance is the ability to select the most simple gearing ratio is mainly basedon data readily available considerations. In fact, a measure of corporate finance capabilities in addition toasset-liability ratio, as well as indicators of the term structure of the debt. Because long-term debt is morestable, it is more a measure of corporate real financing capability, so the financing ability of the model to consider the maturity structure of the debt may be more stable. In the same analysis to address theseshortcomings, made the following recommendations: expanding the scope of the study sample to the timedimension more businesses and industry panel data needs further improvement, more scientifically selectedindicator system to measure the company’s reputation, from more dimension to evaluate the company’sreputation and not just limited to a few indicators; For evaluation of the company’s reputation, you can tryto collect information on the questionnaire, but pay attention to the representation of investigators, as wellas the reliability index system and questionnaire validity problems.