Research On Capital Structure Management Of Luxshare

With the rapid progress of national science and technology,the electronic information industry is rapidly rising.Among them,the electronic components industry,as an important part of the electronic information industry,is one of the fundamental industries related to the overall development of the country’s society and economy.Driven by the trend of deep integration of national informatization and industrialization,the status of the electronic components industry has been elevated from an important foundation of the electronic information industry to the foundation of the entire industrial field.The electronic components industry is not only a technology-intensive industry,but also has a large demand for capital due to its high requirements for research and development capabilities and precision raw materials.A large number of financing needs require enterprises to manage their capital structure,and a strong capital structure can enhance the value of enterprises.Nowadays,the number of enterprises in the electronic components industry is growing rapidly.Some emerging enterprises have a low management level of internal capital structure and have not used funds reasonably for development.Therefore,the analysis of enterprise capital structure management is of great significance to the high-quality development of listed companies in the electronic components industry.This paper selects Luxshare,a leading company in the industry,as the research object,analyzes the current situation of the company’s capital structure from multiple perspectives,deeply explores the motivation of its structure management,evaluates its capital structure management,and summarizes relevant enlightenment conclusions.The results of enterprise capital structure management are presented through the current status of the enterprise capital structure.Therefore,the current status of Luxshare’s capital structure is firstly analyzed from four aspects,including the basic situation of Luxshare,the current status of Luxshare’s capital structure,the comparison of Luxshare’s capital structure with the industry,and the comparison between Luxshare’s capital structure and the optimal capital structure.Among them,the determination of the optimal capital structure is calculated through the static model of the optimal capital structure and the dynamic adjustment of the entropy weight method.After calculation,the optimal capital structure interval of Luxshare is [51.79%,59.45%].Secondly,based on analyzing the current status of capital structure,it analyzes the motives of Luxshare’s capital structure management.From the analysis of internal factors,the company’s capital structure management is mainly to meet the capital needs of the company’s development strategy,while reducing the company’s short-term debt repayment risk and financing costs.From the analysis of external factors,the company’s capital structure management is mainly to respond to changes in the national monetary policy,and at the same time respond to the state’s policy support for the industry.Thirdly,according to the previous analysis of the current status of Luxshare’s capital structure,and an evaluation of its capital structure management,it is found that the proportion of non-current liabilities in Luxshare’s capital structure is small and the shareholding concentration is high,but the company has accumulated sufficient internal financing,giving full play to the advantages of interest-free liabilities,using diversified financing channels,and the company’s asset-liability ratio has reached the optimal capital structure range after management.Finally,based on the above evaluation of Luxshare’s capital structure management,it summarizes the relevant enlightenment conclusions of Luxshare’s capital structure management and provides a new idea for enterprises troubled by capital structure management problems.