The Impact Of Management Competence On Investment Efficiency From The Perspective Of Market Competition

Investment is an important support for a country's economic development.At the micro level,investment efficiency is an important source of enterprise's survival and sustainable development.At the macro level,investment efficiency is an important guarantee for the effective allocation of social resources.In reality,due to the problem of information asymmetry and principal-agent problems,enterprises will have problems of insufficient investment or excessive investment.This is not only not conducive to the maximization of the value of the enterprise,but also hinders the rational allocation of resources.Management,as business operator,plays a direct or indirect role in the investment decisions.The differences in management capabilities ultimately lead to differences in investment direction and investment size.At the same time,in the context of China's market-oriented reforms,the market has become themainstay of resource allocation.The market competition environment in which enterprises are located also affects the investment decisions of enterprises.Therefore,based on the existing research,this paper considers the combination of internal management capabilities and external competitive environment,trying to demonstrate the impact of management on investment efficiency and Whether there is any difference in the impact of management capacity on investment efficiency as market competition environments around changes.In detail,this paper takes the 2008-2016 A-share manufacturing listed company as the research object,First,This paper establishes a regression model of management capability and investment efficiency to verify the impact of management capacity on investment efficiency alone.Then,based on the above model,the interaction term between management capability and market competition is added,and the coefficient and significance of the interaction term are adopted to judge the role of market competition in the relationship between capacity and investment efficiency.Finally,the paper further analyzes the differences in the role of management capacity and market competition on investment efficiency under different types of non-efficiency investments,nature of property rights,regions in which the firms are located.The results of the study show that,overall,management capacity has a positive effect on investment efficiency,and market competition can contribute to the positive correlation between management capacity and investment efficiency.Further research found that compared with under-invested enterprises,the interaction between market competition and management in over-investment enterprises is more effective in promoting investment efficiency.Compared with state-owned enterprises,the interaction between market competition and management in non-state-owned enterprises is more effective in promoting investment efficiency.Compared with the central and western regions,the interaction between market competition and management in the eastern region has a more pronounced effect on investment efficiency.Finally,based on the research conclusions,this paper tentatively gives countermeasures and suggestions to improve investment efficiency from the perspective of internal and external markets and corporate heterogeneity.The innovations that may exist in this paper are: First,this paper uses the DEA-Tobit model to measure management capabilities,which can eliminate the impact of the company's own factors on the measurement results.Second,when studying the relationship between management ability and investment efficiency,this paper considers the impact of market competition on the research results.Third,this paper classifies manufacturing according to non-efficiency investment types,equity nature,and geographic location,and comprehensively discusses the impact of corporate heterogeneity on research results.