The Impact Of Environmental Regulation On Corporate Performance Under Corporate Governance

In recent years,with the rapid development of global economy,environmental problems have become increasingly prominent,environmental events emerge in an endless stream,the survival of the human environment suffered serious damage,the environmental problem has aroused the close attention of the society and the government,the government in order to achieve development and environmental protection win-win situation of social economy,continue to develop and implement environmental regulation policy to enterprises mainly,these policies make the enterprises begin to pay attention to the environmental problems caused in their own business,for the sustainable development of enterprises,enterprises can through the initiative to fulfill their social responsibilities and implement relevant environmental strategies to improve corporate performance?If the answer is yes,and the formulation and implementation of corporate environmental strategies are closely related to corporate governance,corporate governance structure including enterprise actual holding,board of supervisors and senior management personnel of independent directors,they directly determine the enterprise management activities will be formulated and implemented,How does external environmental regulation affect firm performance through the internal governance structure of the company?The interaction mechanism between these three factors is not only related to the improvement of the ecological environment,but also related to the sustainable development of enterprises.This article first reviews the relevant environmental regulations,corporate governance and corporate performance related literature,reviews the related theory of these three factors,Study and analyze the mechanism of environmental regulation on corporate performance under Corporate Governance,This article reviews the selection criteria and methods at home and abroad on the environmental regulation index,provides a basis for the environmental regulation index,in order to explore external environmental regulation how to affect corporate performance through the internal governance structure,the proportion of the largest shareholder,the proportion of independent directors,executive compensation incentive and property rights as a substitute the variables of corporate governance,on this basis,in 2011-2014 years of China’s nonferrous metal industry listed companies as the research object,according to the enterprise growth and the size to regression analysis and hypothesis testing and results analysis.The empirical results show that the impact of environmental regulation on enterprise performance based on enterprise growth and scale have different effects,the degree of equity balances is the problem of corporate governance of listed companies to be solved,and the independent director system obviously does not reflect its independence,because of the agency theory,executive compensation is subject to the board of directors,it is difficult to perform its own responsibility,because of the different nature of property rights,environmental regulation plays a different role on corporate performance.Finally,based on empirical research conclusion and combined with China’s national conditions,this article from the equity balance degree,the Board recommends the structure,property and environment regulation mechanism,the specific implementation of a hope that the government departments to strengthen environmental regulation,on the other hand,the company is expected to improve the internal governance structure and take the initiative to undertake the social responsibility of environmental protection to realize the sustainable development of enterprises.