Unexpected Increase Of Credit And Reverse Mixed Reform Of Private Enterprises

In order to alleviate the downward pressure on the Chinese economy caused by the2008 global financial crisis,the Chinese government implemented the "Four trillion" stimulus plan at the end of 2008,injecting a large amount of credit funds into the market.As a result,the total credit volume of banks increased,and the financing difficulty of private enterprises significantly decreased,allowing them to obtain more investment funds.As a result,the investment confidence of private entrepreneurs also significantly increased.Some private enterprises with stronger profit seeking motives,faster decision-making mechanisms,and a desire for greater success took this opportunity to implement aggressive expansion behavior.However,such aggressive expansion did not seem to bring too much development dividends to the enterprise.On the contrary,many studies have shown that some private enterprises fell into a development dilemma due to blind expansion during this period,resulting in subsequent financial constraints,increased debt pressure,and decreased business performance.After the withdrawal of the "Four trillion" stimulus plan,a new phenomenon emerged in the development of private enterprises-the number of private enterprises that introduced the mixed reform of state-owned shares since the withdrawal of the "Four trillion" stimulus plan in 2010 has continued to increase,with a growth rate far exceeding before.Related studies have shown that the introduction of mixed reform of state-owned shares by private enterprises can help them establish connections with the government,obtain credit support,and improve the operational level of the enterprise.So,is it related to the unexpected increase in credit during the previous economic stimulus plan that private enterprises introduced the mixed reform of state-owned shares after 2010?Based on the above considerations,this paper collected the relevant data of 325 private listed enterprises,empirically tested the correlation between the unexpected increase in credit and the introduction of mixed state-owned shares by private enterprises in subsequent years,and conducted the impact mechanism test,robustness test,heterogeneity discussion,and further tests on the impact of the introduction of state-owned shares by private enterprises on their business performance and market evaluation.Through research,it has been found that during the "Four trillion" stimulus plan,private enterprises with more unexpected increases in credit have a higher proportion of introducing state-owned shares in subsequent years,and the degree of mixed reform is higher.(2)Mechanism testing shows that the unexpected increase in credit has triggered the expansion behavior of private enterprises in expanding investment scale and enriching diversification,which has had a negative impact on the future development of enterprises,forcing them to introduce mixed state-owned stock reform after the exit of the economic stimulus plan.(3)Heterogeneity testing indicates that when private enterprises are located in areas with preferential policies for the "Four trillion" stimulus plan,areas with lower levels of marketization,and competitive industries,the positive correlation between the two is more significant.(4)Further research has shown that state-owned shares in private enterprises have a positive effect on improving their operational performance and market evaluation.The research in this article indicates that private enterprises still face differential treatment and a blind expansion mentality in the development process.Their blind expansion by taking advantage of unexpected credit opportunities may have a negative impact on their long-term development,and the introduction of mixed state-owned stock reform has a positive effect on alleviating their development difficulties.Therefore,on the one hand,this study can enrich the academic research on the reasons for the introduction of mixed state-owned stock reform in private enterprises,and on the other hand,it has certain positive significance for the effective implementation of economic stimulus policies and the promotion of the healthy development of private enterprises.