Dividend Smoothing,Ownership Structure And Enterprise Value

Dividend policy is closely focused both in corporate finance and in market regulation.In China,since 2001,the state began to improve the supervision system of Dividend distribution in securities market.There are many changes in dividend policy.For example,in 2008,the Securities Regulatory Commission launched the policy of "semi compulsory dividends",which is about to link the refinancing qualification with the cash dividend.In 2013,the policy is refined that considering the characteristics of enterprises when arranging dividend policy.A series of policies were introduced,such as dividend distribution was related to refinancing qualification,set a clear dividend distribution ratio.One of the aims is to solve the problem that enterprises are paying much attention to financing and paying no attention to return of investment in the securities market,at the same time alleviate the speculative action in the immature securities market.One of these phenomenon is that the choice of the dividend policy in enterprise is accompanied by blindness and randomness,and the dividend distribution has the characteristics of large volatility and poor stability.Although China is constantly working to improve relevant policies and regulatory measures,but compared with developed countries,in China the establishment of the securities market is late,the level of cash dividend payment and stability are at a low level,and the standardization of cash dividend policy remains to be promoted.Therefore,how to deal with the cash dividend issuance is not only conducive to improving the governance mechanism of Listed Companies in China,but also conducive to strengthening the protection of investors and promoting the stable operation of the securities market.Secondly,faced with the emergence of new technologies,developed countries have gradually shifted their focus to manufacturing,especially since 2011,China's economic growth is no longer in a state of high growth of two figures.Manufacturing industry as the main driving force to promote economic growth,to achieve the goal of promoting high-quality growth in the new stage,we need to deal with the supply side of the entire economic system.The adjustment and optimization of the supporting policy system of the manufacturing industry should not be neglected in order to achieve sustainable development in competition.How to balance the relationship between income distribution and sustained growth by using dividend policy in the manufacturing sector and whether stable dividend policy can affect the expectations of investors and management decisions in the manufacturing industry.So it is very important to discuss the stability of dividends and the maximization of the value of manufacturing enterprises.In addition,the dividend policy has always been the focus of discussion in the academic circle.From the emergence of modern dividend policy theory such as agency theory and dividend signal theory,theoretical research has never been stopped,but the unified conclusion has not been reached yet.At the same time,the relevant research in China mostly focus on dividend paying tendency and payment level,the research on dividend stability is not enough and needs to be further studied.Therefore,this paper focuses on the impact of dividend stability on the value of Listed Companies in manufacturing industry.Based on the previous research conclusions and experience,the paper uses empirical research methods,considering that the ownership structure as an important research field of corporate governance,affects the status of shareholders in corporate governance,affects the incentive and supervision of management,reflects the distribution of corporate interests and risk-taking mechanism.Unreasonable ownership structure often leads to the principal-agent problem between minor shareholders,strong shareholders and managers.Based on the data of listed manufacturing companies in 2007-2017,this paper investigates the impact of dividend stability on firm value under different ownership structure,and explores the influence of different ownership structure factors.Finally,based on the conclusions,the paper puts forward reasonable policy recommendations.According to the theme of this paper,it can be divided into six parts:The first part is the introduction.This part mainly introduces the background and significance of the research,expounds the innovation of this paper,puts forward the research ideas and methods,designs the technology roadmap,point out the possible innovations and shortcomings.The second part is literature review.This part sums up the research at home and abroad about dividend distribution,dividend stability,enterprise value,equity concentration and balance degree.The research point of this paper is put forward.The third part is theoretical analysis and hypothesis.First,we define the main concepts,including dividend distribution,dividend stability,corporate value,ownership concentration and equity balancedegree.Based on the principal-agent theory,free cash flow theory,dividend signal theory,rent-seeking effect,incentive constraint theory,interest embezzlement theory,competitive collusion hypothesis,equity balance theory,this paper analyzes the relationship between dividend stability,ownership structure and enterprise value,and puts forward the research hypothesis of this paper.The fourth part is empirical research design.The research object of this paper is the listed companies in manufacturing industry from 2007 to 2017.The research data are mainly from database of Guotaian.The fifth part is the empirical results and analysis.First,descriptive statistical analysis is conducted on the relationship between dividend stability and the value of manufacturing enterprises.The correlation analysis and regression analysis are conducted.On this basis,equity concentration and equity balance are introduced to analysis of influence between dividend stability and value of manufacturing enterprises.In addition,robustness tests are designed to verify the results of regression analysis.The sixth part is research conclusions and policy recommendations.According to empirical results of the fifth part,the conclusions of this study are obtained and corresponding policy recommendations are put forward.The results show that:(1)Stable cash dividend will inhibit the promotion of corporate value of manufacturing listed companies;(2)In manufacturing listed companies with different ownership concentration,the degree of improvement of dividend stability is different,and concentrated ownership structure inhibits the negative relationship between dividend stability and firm value of listed manufacturing companies.(3)In manufacturing listed companies with different balance of ownership,balanced shareholding structure promote the negative correlation between dividend stability and the value of Listed Companies in manufacturing industry.