Research On The Financing Efficiency Of China's Real Estate Enterprises Based On DEA Model

The real estate industry is one of the important industries in China.It has the characteristics of large capital demand,large investment scale,long investment cycle and high investment income.Since the development of the real estate industry,its financing scale has been rising.In 2017,China's real estate development investment reached 10.98 trillion yuan,a nominal increase of 7.0%.The continuous growth of investment will inevitably require financing support.In the context of the increasingly perfect real estate financial market with intensified competition and the state's policy control over the real estate industry,real estate companies urgently need to improve financing efficiency,but the current case analysis based on the real estate industry is still More lacking.According to the current background and research status of the real estate industry,this paper takes Greentown as the case analysis object.The former top 20 real estate companies as their comparative samples,185 real estate companies selected by Shenyin Wanguo's real estate industry classification criteria are the research objects.Through the DEAP2.1 software,DEA's CCR and BCC models were used to calculate the static financing efficiency of 185 real estate companies from 2013 to 2017,and then the dynamic financing efficiency was calculated by the DEA-Malmquist model.Firstly,it analyzes the financing efficiency of the property industry branch,company area and company scale,and finds that the overall financing quality of the real estate industry has improved.However,the number of companies with effective technical efficiency has been decreasing year by year,and the housing enterprises are basically in the state of increasing returns to scale.Foreign-funded enterprises and central state-owned enterprises have higher technical efficiency,while the quality of financing of public enterprises and private enterprises has increased faster.Housing companies in Hong Kong have the highest financing efficiency and the lowest in the western region.The improvement of housing financing efficiency in the eastern region is constrained by economies of scale.The technical efficiency and scale efficiency of large-scale housing enterprises are higher than that of mediumsized housing enterprises,but medium-sized real estate enterprises are more constrained by scale efficiency.Secondly,through the analysis of Greentown's static financing efficiency,it is found that Greentown's technical efficiency average is ranked lower from 2013 to 2017,and the pure technical efficiency performance is basically the same as the technical efficiency,while the scale efficiency is basically close to the optimal scale.Therefore,the low technical efficiency of Greentown is mainly due to the low efficiency of pure technology,and the management capacity and operation level of the company need to be improved.Through the analysis of the redundancy,it was found that Greentown was in a state of redundancy.Through benchmarking,it was found that Greentown's technical efficiency is low due to high asset-liability ratio,high financing costs and reduced profitability.In addition,through the analysis of Greentown's dynamic financing efficiency,it is found that Greentown's total factor productivity index declines more than the industry average,mainly due to the decline in the technical efficiency index.The impact of its pure technical efficiency index on technical efficiency is more obvious,so Greentown should focus on improving its pure technical efficiency.Through the analysis of the influencing factors of dynamic financing efficiency,the main reasons for the decline of technical efficiency are: the impact of macroeconomics and industry regulation and control policies,land acquisition strategy mistakes,excessive dependence on bank financing channels,weak solvency,permanent securities risks and endogenous financing.The ability needs to be improved.Finally,the paper summarizes the research results,and puts forward the financing efficiency suggestions from the macro and micro perspectives of the real estate industry.It provides suggestions for the Greentown case to improve the capital turnover capacity,reduce financing costs and enhance the internal financing capacity.The contribution of this paper lies in: firstly,the financing efficiency is basically the status quo of empirical research,enriching the case study of financing efficiency;secondly,it discusses the difference in financing efficiency of real estate companies of various attributes,regions and scales.Finally,based on DEA static and dynamic models,combined with the analysis of redundant analysis and benchmarking analysis,the financing efficiency of Greentown was deeply studied.The shortcoming of this paper is that on the one hand,the data source does not include unlisted companies;on the other hand,the research recommendations in this paper may not be universal.