—A successful IPO is determined by many different
factors across listing markets. Identifying the principal factors
and satisfying with them are prerequisites for an IPO firm.
The purpose of this study is through Principal Factor Analysis
(PFA) to investigate these determinants in the emerging
Growth Enterprise Market of China. Based on a sample of the
initial 243 IPOs in the market over 2009-2011 period, this
study shows the five factors — firms size, profitability, growth
rate, IPO volume, and dividend rate are the most significant
factors for a successful IPO in the market.
—Entrepreneurial firms, growth enterprise
market of china, IPO determinants, principal factor analysis.
H. Long is with the School of Business, Edith Cowan University, Perth,
6027 Australia (e-mail: firstname.lastname@example.org).
Cite:Hai Long, "Exploring the Principal Factors Influencing IPOs in the Emerging Growth Enterprise Market of China," International Journal of Trade, Economics and Finance vol.5, no.1, pp. 77-81, 2014.