A Study on the Contrastive Effect of Dividend Distribution of Listed Companies

The best way to distribute dividends has been a puzzle for a long time. Sometimes, when companies have no idea of the dividend distribution, they may select to simply follow the dividend policy of competitive companies. This paper collects the dividend data from companies listed in SHENZHEN stock exchange during the year of 2009-2018, and exams whether the dividends of later distribution company will be affected by the the dividends of former distribution company. The empirical results show that the dividends of company that distributed earlier has a significant positive effect on the dividends of company that distributed later, which means there is a contrast effect of dividend distribution between companies in the same industry. This result can enrich the current researches on the dividend policy and has certain significance for investors and companies.