Study on the Economic Consequences of Shareholders' Equity Pledge Behavior
Abstract
Compared with bank loans, private lending, pawn, borrowing and other financing methods, shareholders' equity pledge is faster, and the cost of borrowing costs is lower. According to this characteristic, this paper is divided into three parts. First, the literature of domestic and foreign equity pledge is sorted out, and the motivation of equity pledge is analyzed again, divided into malicious pledge and goodwill pledge, and finally analyzed the economic consequences of equity pledge. It provides a theoretical basis for minority shareholders to prevent major shareholders from encroachment on their interests.
How to Cite This Article
Yanlong Shi (2023).
Study on the Economic Consequences of Shareholders' Equity Pledge Behavior
. International Journal of Management and Organizational Research (IJMOR), 2(1), 01-04.