The Dividend Politics of Romanian Enterprises

The dividend politics – a managerial option of any entity between partial reinvestmentand total re-investment of the net profit and/or total or partialdistribution of this one in the form of dividends. For a good management wehave the problem to choose between the dividend and the auto-financing. Theallocation of a big amount of the net profit as dividend limits the possibilities ofauto-financing of the society and manages to the rise of the degree ofobligation. On the other hand, a society which practices a politics of dividendcharacterized by a high rate of dividend enjoys of the appreciation of his actionson the market, and this fact has as consequence the rise of the possibilities offinancing through new emissions of actions. The choice of one of thesealternatives or the possibility of the effectuation of combinations between themis governed by the major demand of the finances – the maximization of thevalue of the entity.