Study On The Relationship Between Demography Of TMT And Firm Performance Of State-Owned Enterprises

It is widely acknowledged that demography of Top Management Team (TMT) will have impact on organizational performance. But the way that TMT's demography influences firm performance is unclear for the state-owned enterprises, since there have not been more studies of this topic thus far. Through the study of relationship between TMT's demography and organizational performance,we try to understand the influence under the multiple social and political circumstance in order to come up with suggestions for firms in the future.In this thesis,we try to explore how demography of TMT influences performance of Chinese businesses,through examining the relationship between several relevant indicators of TMT's demography and the performance of 56 state-owned enterprises listed in the Chinese stock exchange market,and discuss the implications of the empirical results from cultural,historical and the institutional perspectives.Demography of TMT contains four factors: ages,formal education,tenure and career backgrounds. During the empirical study,we first come up with four hypotheses and selected samples,independent variables and dependent variables. Through the descriptive statistics and correlation analysis,we get the empirical results. Demography of TMT is not much related to the firms' performance. The TMT's average education is positively related to the firm's performance and the number of firm's branches is negatively related to the firm's performance. In conclusion,based on the analysis of the empirical study,it is urgent that we should pay more attention to the TMT's demography and build up an effective and efficient mechanism of TMT.