CHINESE COMPANIES’ EXPERIENCE IN DIVIDEND POLICY AS AN ELEMENT OF CORPORATE CONTROL SYSTEM

Abstract

For companies operating in the form of a public joint stock company, the dividend policy is an important element of the overall corporate control system. This circumstance is due to the possible impact of the payment of dividends on the market value of the company’s shares and, as a result, their attractiveness in the eyes of shareholders, including from the point of view of the long-term perspective. In large corporations, the volume and methodology of dividend payments are determined, as a rule, by the interests of majority shareholders, often to the detriment of the interests and rights of minority shareholders, which is a separate, rather serious problem. In the article, the author examines the experience of Chinese companies whose active exchange activity began at the end of the last century and over two decades has demonstrated many opportunities in terms of using various tools for managing equity.