Supply chain concentration and enterprise financialization: Evidence from listed companies in China's manufacturing industry

Enterprise financialization will block the equipment update and technological innovation of enterprises by crowding out the main business funds. The risks and benefits of supply chain concentration will affect the enterprise financialization. This paper selects the panel data of A-share listed compa...

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Veröffentlicht in:PloS one 2023-05, Vol.18 (5), p.e0285308-e0285308
Hauptverfasser: He, Huanhuan, Zuo, Zongwen
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description Enterprise financialization will block the equipment update and technological innovation of enterprises by crowding out the main business funds. The risks and benefits of supply chain concentration will affect the enterprise financialization. This paper selects the panel data of A-share listed companies in China from 2009 to 2021, and uses fixed effect regression to analyze the impact of supply chain concentration on enterprise financialization. The conclusions show: both suppliers and customers concentration significantly promote the financialization of enterprises, and this conclusion is still valid after a series of tests; This kind of financialization effect is heterogeneous in four aspects: the nature of property rights, the scale of enterprises, the intensity of industrial competition and the level of economic development in the region where the enterprises are located; the mechanism analysis show that customer concentration can affect enterprise financialization through upstream commercial credit, but supplier concentration cannot affect enterprise financialization through downstream commercial credit.
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subjects Audit risk
Cash flow
China
Commerce
Commercial credit
Cooperation
Cost-benefit analysis
Customers
Economic aspects
Economic conditions
Economic Development
Engineering and Technology
Equipment costs
Impact analysis
Industry
Influence
Investments
Logistics
Manufacturing
Manufacturing Industry
People and Places
Physical Sciences
Property rights
Research and Analysis Methods
Science Policy
Social Sciences
Suppliers
Supply & demand
Supply chain management
Supply chains
Technological change
title Supply chain concentration and enterprise financialization: Evidence from listed companies in China's manufacturing industry
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