Financing Effect Improvement And Governance Efficiency Improvement

The development of capital market is an important part of economic development.As an important part of China's capital market,the regional equity market,together with the main board,the small and medium-sized board,the growth enterprise board,the science and technology innovation board and the new three board,has improved the structure system of China's capital market.Through the hierarchical matching of enterprises with different risk characteristics and investors with different risk preferences,it provides an indispensable financing platform for pre IPO enterprises,especially small and medium-sized enterprises,It has played a positive role in consolidating the development of real economy and activating private capital.Regional equity trading market has three functions: financing promotion,equity transfer and governance efficiency improvement.Among them,the mechanism of financing promotion and equity transfer is relatively clear,and relevant research is also relatively rich.In terms of governance efficiency,it is generally believed that regional equity trading market can promote listed companies to strive to improve the level of operation and management,and improve the quality of listed companies.However,how the listing of regional equity trading market can promote the improvement of corporate governance efficiency is relatively small both in mechanism research and empirical research.This paper starts from the relationship between financing effect and corporate governance efficiency.This paper holds that the financing promotion of regional equity trading market will affect the efficiency of corporate governance in two aspects: financing efficiency and financing structure.The improvement of financing efficiency will force enterprises to strengthen information disclosure,improve the transparency of business operation and the requirements of financial norms;the entry of debt and equity financing will change the governance structure of small and medium-sized enterprises with one dominant share and family management,and build a better internal balance system.Based on this idea,this paper selects 2014-2018 panel data of listed enterprises in Zhejiang stock exchange market,and takes financing efficiency and financing structure as independent variables to build a multiple regression model to study the impact of financing effect on corporate governance efficiency.The main conclusion of the study is that in terms of financing efficiency,the improvement of financing efficiency will significantly improve the governance efficiency of listed enterprises;in terms of financing structure,the improvement of short-term debt ratio and equity financing ratio will improve the corporate governance efficiency,while the improvement of asset liability ratio has a negative correlation with corporate governance efficiency.