David Smith
Doctor of Philosophy, (Finance)
Study Completed: 2011
Massey Business School
Citation
Thesis Title
An analysis of the capital structure determinants and financing behaviour of New Zealand firms
Read article at Massey Research Online: 
Mr. Smith investigated the capital structure determinants and financing behaviour of New Zealand firms. First, he examined the relationship between the capital structure of firms and their product markets. Results suggest that New Zealand firms use debt to compete more aggressively against their rivals. This behaviour may be explained by the more competitive trading environment in New Zealand over the last 25 years. He also looked at the capital structure choices made and found consistent trends in the financing policies of firms and in the factors that influence those policies. He further found that the speed of adjustment of firms towards target capital structures varies across industries. The results are of interest to investors and analysts who wish to gain more insight into factors that influence New Zealand companies’ decisions.
Supervisors
Dr Jianguo Chen
Professor Hamish Anderson