Research On Internal Capital Market Efficiency In Listed Companies Of Shandong Province

The efficient allocation of capital is the core of the allocation of resources, for a long time, most of the studies focused on the efficiency of capital allocation in external capital market allocation efficiency. Namely, In the process of capital allocation, part of the configuration of capital also needs to be distributed through the company’s internal capital markets. In addition to the external capital markets, internal capital markets can reduce the financing cost, optimize the allocation of resources, and alleviate the financing constraints of enterprises. To a certain extent, the efficiency of internal capital market decides whether the group advantage can better play. At the same time, the efficiency of internal capital market has a direct influence to the growth and development of listed companies in our country. Therefore, the research on the effectiveness of the internal capital market has very important significance.As the emerging market countries, our country has a special background of economic development, compared with the enterprises in the developed market economy countries; there are many differences between the enterprise in our country and the developed countries in Investment and financing environment, as well as the various factors that affect business activities. Therefore, study on the effectiveness of the listed company’s internal capital market under the special background of China’s economic development is not only helpful to us to understanding the whole process of capital allocation clearly and completely, but also helpful to research for internal capital market started relatively late in China. The research finding of internal capital market in China is inconsistent. In theory, the struggle of "effective" and "void" exists. While in practice there is still in exploration and confirmation.Based on the development of regional economy, listed companies in Shandong province as the research sample, the research topic is the allocate efficiency of internal capital markets, estimate the effectiveness of the internal capital markets of listed companies in Shandong province, empirical analysis the factors of internal capital market allocation efficiency of listed companies in Shandong province; came up with policy suggestion to Improve the efficiency of internal capital markets. The study found that:For the evaluation of internal capital market efficiency in Shandong province, from the enterprise group level, internal capital market allocation of the capital between member enterprises efficiently; but from the level of the members in enterprise, enterprises did not achieve the optimal re-allocation of funds from the group.the characteristics of the controlling shareholder or actual controller of listed companies in Shandong province has played a role in the efficiency of the internal capital market allocation, the separation of control right and cash flow right would inhibit internal capital configured to enhance market efficiency, higher percentage of the first largest shareholder may also affect the internal capital markets efficient allocation of capital, the impact of the proportion of senior management ownership of the internal capital market allocation efficiency is not significant, state-owned listed companies allocate efficiency is lower than the configuration efficiency of non-state-owned listed companies. According to the research conclusion, we believe that we should promote re-allocation efficiency of funds at the enterprise level, optimizing control structure, improve the relevant laws and regulations, regulate the internal capital markets, improve the information disclosure system and information transmission mechanism, strengthen the protection of the interests of the investors.Based on the theoretical analysis and empirical research, explore the value of the internal capital allocation of listed companies in our province, to a certain extent, enrich the domestic research on internal capital markets, advantageous to find the deep reason for changes in corporate value, and benefit from micro level to seek the cause of the low capital allocation efficiency in our country. Meanwhile, there has a long-term significance to promote the reform of economic system, promote the development of economic and enhance enterprise development in our province.