Research On The Motivation And Performance Of Enterprise Financialization

The substantial economy is the foundation of our country’s development.Since the reform and opening up,relying on demographic dividends and favorable policies,our country’s physical and financial industries have developed rapidly.However,with the rising labor costs and the gradual saturation of domestic and foreign market demand,the physical industry is showing trends such as overcapacity and declining profit margins.At the same time,the scale of our country’s financial market continues to expand,investors are enthusiastic about investment,and the rate of return on financial investment far exceeds the rate of return on physical investment.Based on the above background,our country’s non-financial enterprises have begun to become financialized.The macroscopic manifestation is the emergence of a large number of financial institutions and the development of the financial industry,and the microscopic manifestation is the change in the internal capital structure and profit structure of the enterprise.However,as the degree of financialization of non-financial enterprises continues to deepen,the investment trend of"de-realization to virtuality" of entity enterprises has also caused a series of risks,which affects the healthy development of the entity industry and the financial industry.This article takes the financialization of Shanghai RAAS as an investigation event,and uses a combination of literature analysis and quantitative analysis to conduct an in-depth study of the case from a micro perspective,in order to provide a case reference for the financialization of non-financial enterprises.The text of this article is developed in the following order:First,the article introduces the background of China’s financialization,the reasons for financialization,the impact on performance,and related evaluation indicators through combing the literature and the interpretation of the concepts,and focuses on the impact of financialization.The impact mechanism of corporate performance;secondly,this article introduces the current situation of the case company Shanghai RAAS and its blood product industry,expounds the financialization process of Shanghai RAAS and uses relevant indicators to identify its degree of financialization;again,this article starts with The behavioral preference of managers and the pressure of endogenous growth examine the motivations of Shanghai RAAS’s financialization,and analyze the impact of financialization on its consequences from the aspects of market performance,innovation performance and financial performance;finally,based on the previous analysis,drew the conclusions and recommendations of this article.Through case analysis,the main conclusions drawn in this article are as follows:(1)Shanghai RAAS financialization squeezes out a certain amount of innovation investment;(2)Shanghai RAAS financialization affects the long-term development of enterprises;(3)Shanghai RAAS financialization leads to investment The risk increases.Based on the above findings,this article believes that the financialization of enterprises should be coordinated with the development of their main business,enterprises should rationally arrange financialization strategies based on the characteristics of the industry,and corporate managers should avoid investment short-sighted behavior.