Analysis Of Dividend Policy Of G Company

With the formal establishment of capital market in China in the early nineties,having a sound and reasonable dividend distribution policy for a listed company has become an important factor in attracting investors’ enthusiasm for investment and establishing a good corporate image.Therefore,the formulation of the dividend policy is crucial for the development of a business.However,due to the great differences between China’s capital market and the western capital market in the aspects of policies and regulations,macroeconomic background and investors’investment philosophy,the research results of the western developed countries lack the pertinence to the formulation of the dividend policy of the domestic listed companies Therefore,it is very necessary to start the research on the dividend policy for the listed companies in our country.Based on the above background,taking into account the domestic listed companies,the total dividend of the electrical industry among the forefront,I chose the electrical industry representative of the listed company G dividend distribution policy as a research object,combined with domestic and foreign scholars research results,Dividend policy for G companies to study and discuss the dividend distribution program by summing up the characteristics of the program has a high dividend,after analysis of the high dividend payout policy has created three problems that are:the company debt ratio High,affecting the expansion of foreign investment is not conducive to safeguarding the interests of small shareholders.The reasons for this phenomenon after analysis can be summarized as:the company did not pay the debt after the first profit,the lack of investment opportunities in enterprises,the company holding more concentrated in these three cases.Through analysis finally come to the solution of these kinds of problems,first,enrich the form of dividend distribution.Second,improve the efficiency of the use of funds.Third,play the role of internal control of the company.The first part of the introduction mainly discusses the research background and significance,discusses the basic theory of dividend-free theory and dividend-related theory,and expounds the research content,research methods and so on.The second chapter elaborates the basic theory of dividend policy,including the concept of dividend policy,the type of dividend policy and so on.Then in the third chapter introduces the basic situation of G listed companies,G company’s financial position,ownership structure,dividend distribution program analysis of its dividend distribution policy motivation.Then in the fourth chapter,it summarizes the problems existing in G company’s dividend policy and the reasons and puts forward the suggestions for improvement.Finally,draws the conclusion of the study.