Research on the Impact of Equity Concentration Degree on Investment Efficiency
Abstract
This paper selects panel data of Shenzhen and Shanghai A-share listed companies from 2013 to 2018, and discusses the impact of company equity concentration on investment efficiency through multiple regression analysis. The results show that the more concentrated the equity, the lower investment efficiency; because when the interests of the largest shareholder are consistent with the company’s interests, the controlling shareholder has an incentive to strengthen the supervision of the investment behavior to inhibit the company’s over-investment, but overly cautious supervision leads to under investment.
Keywords
Equity concentration degree, Investment efficiency, Multiple regression analysis
DOI
10.12783/dtssehs/ecemi2020/34673
10.12783/dtssehs/ecemi2020/34673