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How does financial accessibility affect the resource allocation of enterprises? Micro-evidence from the financial geographical structure of investment-oriented enterprises

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  • Wang, Wei
  • Sun, Meilu

Abstract

During the transition period, flaws in the financial system hinder the development of the real economy. Thus, improving financial service efficiency in the real economy is crucial. This study examines how the financial geographical structure affects resource allocation efficiency of investment-oriented enterprises. Empirical findings indicate that a closer proximity to financial institutions and sectors enhances resource allocation efficiency, particularly for non-state-owned enterprises, those grappling with severe financing constraints, and those in regions with advanced marketization level.

Suggested Citation

  • Wang, Wei & Sun, Meilu, 2025. "How does financial accessibility affect the resource allocation of enterprises? Micro-evidence from the financial geographical structure of investment-oriented enterprises," Finance Research Letters, Elsevier, vol. 84(C).
    • Handle: RePEc:eee:finlet:v:84:y:2025:i:c:s1544612325010785
    DOI: 10.1016/j.frl.2025.107820
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    References listed on IDEAS

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