| As one of the three major financial decisions of the enterprise,the dividend policy is of great significance to the development of the enterprise.How to make a reasonable distribution of the company’s annual income between shareholders and the company’s internal retention-the development of a reasonable dividend policy is a thorny issue for its managers.This paper takes Gree Electric Appliance Co.,Ltd.’s dividend policy as the research object,and uses the enterprise life cycle theory to make a detailed analysis of the factors affecting Gree’s dividend policy.Firstly,the dividend policy of Gree Electric Appliances is analyzed.Firstly,the basic situation of Gree Electric Appliances is introduced.The life cycle of Gree Electric Appliances since its listing is divided into growth and maturity stages.The market reaction of dividend distribution in different life cycle stages is studied by using event study method.It is found that the dividend distribution in the growth stage is high.Cash dividend distribution can not arouse investors’ interest,but in maturity,investors prefer cash dividend.Secondly,this paper analyses the dividend policy of Gree Electric Appliances from the changes of dividend payment tendency and dividend payment rate,and points out its problems: arbitrariness of dividend payment and cash dividend payment.Rate lacks theoretical support.In view of its existing problems,this paper studies the influence of different factors on dividend policy formulation from four aspects: laws and administrative regulations,enterprise’s own factors,shareholders’ factors and industry development factors.Based on the analysis results,some suggestions are put forward: the fluctuation of cash dividend should be reduced.In order to protect the interests of investors,we should give priority to financing from the inside of the enterprise.At the same time,we should pay more attention to the factors of the enterprise itself when making dividend policy,and think that Gree should construct a reasonable ownership structure to protect the interests of large and small shareholders.Finally,we put forward conclusions and prospects.The research results of this paper have reference significance for listed companies to formulate reasonable dividend policy. |
