Textile Firms in China Boost Profits by Optimizing Capital Structure
The study looked at how the way companies in China's textile industry raise money affects their success. By analyzing data from publicly traded companies, the researchers found that a company's profit and asset value are linked to how it raises money. Bigger companies tend to have different ways of raising money than smaller ones. The study also found that how fast a company is growing and how much tax it pays don't affect how it raises money.