Research On The Relationship Between Cost Stickiness,Anti-stickiness And Corporate Value

The capital market intercompany competition of China is increasing,value maximization becomes the core and primary goal of the benefits control,listed companies is aiming at creating long-term profits,so cost management has already become the inevitable requirement of long-term development in China and the important aspects of management strategic choice of listed companies.Therefore,the study on the relationship between cost behavior and corporate value could reveal the mechanism of the management micro decision on the market value of companies accurately and systematically,and provide theoretical basis for managers to establish more realistic plans and control systems,it has important theoretical and practical significance for improving cost management practice and promoting long-term development of companies.This paper firstly studies the domestic and foreign theoretical and empirical research on cost stickiness and anti-stickiness,then based on the agent theory,asset specificity theory,transaction cost theory,strategic management theory and the limited rational decision theory,and analyzing the influence of cost stickiness on corporate value under different decision-making motivations from the perspective of self-serving behavior and strategic thinking of the management theoretically.Meanwhile,combined with the current economic situation and the system background of China,the paper makes a theoretical analysis on the relationship between cost anti-stickiness and corporate value on the respects of earnings management,pessimistic expectations of managers and production capacity utilization.On the basis,the paper learns from Weiss(2010)model and measures the cost stickiness and anti-stickiness on 2009-2016 non-financial quarterly data of listed companies in our country,by constructing multiple regression models,the paper tests the influence of cost stickiness and anti-stickiness on corporate value respectively,and further investigates whether there are differences on the relationship between cost stickiness,anti-stickiness and corporate value.Moreover,in order to make the results more robust,the paper examines lag effect because of possible existence of endogeneity problem,and makes inter-partition tests according to the regression results on the relationship between cost stickiness,anti-stickiness and corporate value.Finally,according to the research conclusion,the paper makes recommendations for the management of listed companies to establish and improve the cost control system and for the companies with low capacity utilization to optimize the allocation of resources.The main conclusions of this paper are :(1)there exists cost stickiness in the listed companies of China,but also cost anti-stickiness,and the company with cost stickiness is more common.(2)there is an inverted U-shaped relationship between cost stickiness and corporate value,strategically maintaining the moderate cost stickiness could help promote corporate value,and too low or high stickiness level has negative effects on corporate value.(3)there is an inverted U-shaped relationship between cost anti-stickiness and corporate value,moderate cost anti-stickiness could promote corporate value,and too low or high anti-stickiness level would damage corporate value.