Title: Study on Interactive Relationship between Capital Structure and Product Market Competition
Abstract: From the perspective of product market competition,the writer in this article studied the financing activities and capital structure,which is the cross subject of financial theory and industrial organization theory.By studying the interrelationship between capital structure and product market competition,it's concluded that there is negative correlation between the two.The fiercer the market competition,the more inclined to select capital structure with low ratio of debt;high financial leverage of the firm will weaken its market competition.On the contrary,low financial leverage will increase the market competition.
Publication Year: 2008
Publication Date: 2008-01-01
Language: en
Type: article
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