Managerial Power,Financial Leverage And Corporate Value-Empirical Evidence From Chinese Listed Companies

In recent years,China's economic development has entered a new phase.As the main body of economic development,enterprises play a very important role in economic development.From the perspective of corporate governance,the realization of corporate value is not only a matter of financial management,but also involves a series of internal corporate governance issues.The distribution of management power of listed companies and corporate financial leverage are two factors that affect corporate value.An important factor.With the institutionalization of the separation of powers of enterprises,the legalization and professional manager system has been introduced into enterprise management.Management uses its own authority to maximize its own interests.This is inconsistent with the objectives of modern enterprise financial management,thus affecting or even harming the value of the enterprise.Management's use of its own authority to influence the value of the company,the size and manner of the impact on the value of the company,and the role of financial leverage in it all deserve our in-depth study.This article selects all listed A-share companies in China from 2013 to 2016 as the research object,uses empirically selected samples after reasonable screening,and analyzes the relationship between management power and corporate value,and the relationship between financial leverage and corporate value.And what role does financial leverage play between management power and corporate value? First,this paper measures the size of management power by constructing comprehensive indicators of managerial power,and selects seven variables including two-part position and management shareholding.Use SPSS software for principal component analysis to construct management power comprehensive variables;secondly,select corporate assets.The debt ratio indicates that the firm's financial leverage is used as an explanatory variable,and the economic value added(EVA)is used as the explanatory variable to measure the firm's value.The key factors such as the return on assets and the nature of the property are also selected as the control variables to control the model accordingly.Finally,the model was built and the descriptive statistics,correlation analysis,regression analysis,and robustness test of the relevant variables were performed.Based on the analysis of the theoretical part and the empirical results of theempirical part,the following conclusions are drawn:(1)There is a significant negative correlation between management power and corporate value;(2)Financial leverage is significantly and positively related to corporate value;(3)Financial leverage can ease the negative impact of management power on corporate value,indicating that financial leverage has a counterbalance to corporate value.In the study of management power and corporate value,this paper innovatively uses economic value added to measure corporate value,and enriches the research content on the factors affecting financial leverage,and at the same time provides a framework for improving the corporate governance structure and improving corporate management capabilities.Helpful reference information can help companies re-recognize the relationship between shareholders and management,and the role of management power in corporate value.