This paper analyzes empirically the factors affecting the capital structure of publicly traded Chinese real estate firms based on the trade-off theory and pecking-order theory, aiming to provide some meaningful references for the establishment of financing policies of Chinese real estate firms in the adjustment period.

The application of the balance theory in enterprise capital structural strategies;

Cash holdings is an important aspect of a corporate s financial management policy,cash is the most liquid asset and is the lowest profitable asset, large holdings of cash are explained in many ways including balance theory and agency cost theory by the theorists.

Results show that there is obvious adjustment to the industry mean of capital structure for Chinese listed companies,the speed of adjustment is influenced by industry,corporate size,and the stability of industry mean,and that the static trade off theory are more reasonable than the pecking order theory in explaining the dynamic adjustment .

This article analyzes the parallel import question from the right balance angle, suggests our country tries the parallel import dispute at present in the parallel import case using the right balance theory.