Research On High Cash Dividend Policy Of Wanhua Chemical Group

As one of the three core issues in the field of finance research today,dividend policy plays an important role in the financial decision-making of listed companies.How to choose,formulate and implement a stable and reasonable dividend policy has attracted widespread attention from many scholars at home and abroad,which is also the key to exploring the hot issue of dividend policy.Although China's capital market started late,it has continued to develop and mature in recent years,and the dividend distribution policies of listed companies are also constantly changing.The CSRC has successively introduced a series of policies and regulations that regulate the cash dividends of listed companies since 2001.The promulgation of this series of policies has encouraged those companies with refinancing needs to continue to pay dividends.The number of "iron cocks" in the A-share market has significantly decreased,and the Chinese capital market The distribution of high cash dividends has gradually become apparent.As a leading company in the domestic chemical raw materials and chemical products manufacturing industry,Wanhua Chemical has carried out related research on its high cash dividend policy.It has certain value for enriching and improving the theoretical research of China's high cash dividend policy.Provide references for other listed companies to formulate reasonable dividend policies.This paper studies the causes and economic consequences of Wanhua chemical's high cash dividend policy by means of case study,event study and comparative analysis.First of all,this paper defines the relevant concepts of high cash dividend policy,and reviews the relevant theories to provide a theoretical basis for the following research.Secondly,this paper lists the dividend distribution situation of Wanhua chemical over the years and the dividend distribution situation of listed companies of chemical raw materials and chemical products manufacturing,and makes a comparative analysis of the dividend distribution situation of the two.Thirdly,this paper analyzes the motivation of Wanhua chemical to implement the policy of high cash dividend from the perspectives of financial support capability factors,equity structure,life cycle,policies and regulations,and overall listing.Finally,this paper analyzes the market reaction of Wanhua chemical to implement the policy of high cash dividend by using the event research method,and studies the impact of the implementation of high cash dividend policy on enterprise value.The main conclusions of this paper are as follows: first,high profit and sufficient cash flow are the preconditions of high dividend policy;second,the ownership structure has a significant impact on the formulation of high dividend policy;third,the enterprise life cycle is an objective factor affecting high dividend policy;fourth,high dividend has become a large share of listed companies Fifth,high dividend policy does not mean positive economic consequences.This paper studies the motivation and economic consequences of the high cash dividend policy of Wanhua chemical,hoping to provide some enlightenment for the government to improve the dividend policy and the formulation of cash dividend policy of listed companies.