Using data on Chinese listed companies for 2008-2018,we find that firms participating in overseas operations,proxied by overseas subsidiaries,generally have higher financial asset allocations than other firms.At the m...Using data on Chinese listed companies for 2008-2018,we find that firms participating in overseas operations,proxied by overseas subsidiaries,generally have higher financial asset allocations than other firms.At the micro level,the effects are more pronounced when the parent company faces serious financing constraints,has no overseas returned executives,has a business that is inconsistent with that of its overseas subsidiaries and has overseas subsidiaries that experience losses.At the macro level,the effects are more pronounced when overseas operations are in OECD and Belt and Road countries,or in areas with higher economic or political risks and greater investment opportunities.Financial asset allocation helps mitigate cash flow fluctuations and operational risks for multinational firms.This study advances research on the determinants of financial asset allocation and has implications relevant to the Chinese government’s“Go Global”and Belt and Road strategies and its efforts to realize a developed financial sector to service the Chinese economy.展开更多
The mechanism by which enterprises set salaries is vitally important to employees and is especially relevant to the reform of state-owned enterprises(SOEs).This paper investigates the effect of comparing employee comp...The mechanism by which enterprises set salaries is vitally important to employees and is especially relevant to the reform of state-owned enterprises(SOEs).This paper investigates the effect of comparing employee compensation based on a sample of A-share SOE groups from 2008 to 2018.We find that when employee compensation at one company sharply increases,the employee compensation of other companies controlled by the same group will increase sharply in the following year.Further analysis shows that when employees’sense of unfair compensation is stronger,when employees are less replaceable and when enterprises’ability to pay is stronger,the effect of employee pay comparison is stronger.Increased employee salary does not improve enterprise performance,however,suggesting that such salary adjustment is ineffective.This paper expands the research on employee compensation and provides useful insights for optimizing the design of compensation contracts and promoting compensation reform in SOEs.展开更多
基金support from the National Natural Science Foundation of China(72272164,71872196,72272169)the National Social Science Foundation of China(23&ZD060,21&ZD145,19ZDA098).
文摘Using data on Chinese listed companies for 2008-2018,we find that firms participating in overseas operations,proxied by overseas subsidiaries,generally have higher financial asset allocations than other firms.At the micro level,the effects are more pronounced when the parent company faces serious financing constraints,has no overseas returned executives,has a business that is inconsistent with that of its overseas subsidiaries and has overseas subsidiaries that experience losses.At the macro level,the effects are more pronounced when overseas operations are in OECD and Belt and Road countries,or in areas with higher economic or political risks and greater investment opportunities.Financial asset allocation helps mitigate cash flow fluctuations and operational risks for multinational firms.This study advances research on the determinants of financial asset allocation and has implications relevant to the Chinese government’s“Go Global”and Belt and Road strategies and its efforts to realize a developed financial sector to service the Chinese economy.
基金supported by the National Natural Science Foundation of China(No.71802208)the National Social Science Fund of China(No.19BJY019)
文摘The mechanism by which enterprises set salaries is vitally important to employees and is especially relevant to the reform of state-owned enterprises(SOEs).This paper investigates the effect of comparing employee compensation based on a sample of A-share SOE groups from 2008 to 2018.We find that when employee compensation at one company sharply increases,the employee compensation of other companies controlled by the same group will increase sharply in the following year.Further analysis shows that when employees’sense of unfair compensation is stronger,when employees are less replaceable and when enterprises’ability to pay is stronger,the effect of employee pay comparison is stronger.Increased employee salary does not improve enterprise performance,however,suggesting that such salary adjustment is ineffective.This paper expands the research on employee compensation and provides useful insights for optimizing the design of compensation contracts and promoting compensation reform in SOEs.
