The Research On Corporate Governance Model And Financial Incentive Mechanism

The research on corporate governance, it is attempt to clear all rights, responsibilities and benefits of each benefit entity in company through a series of system arrangement and keep in balance, thus effectively reducing efficiency losses as a result of two power separation, then reducing agency costs and improving enterprise's efficiency. Corporate governance model is capital structure and ownership structure characteristic, organizational structure characteristic and internal and external control characteristic that enterprises appear out in specific politics, economic, cultural, legal environment, it is the concrete embodiment of the corporate governance intension. And the financial incentive mechanism is a kind of power mechanism for reducing the agency costs and improving the enthusiasm of all benefit entities of enterprises, it is also the most effective way to improve the corporate governance efficiency.Combining corporate governance model and financial incentive mechanism together is a new angle to study the efficiency of corporate governance. At first, this thesis traces back to the theoretical foundation on corporate governance. It emphasizes the integration of the three essential theories of modern enterprise (Production function theory, the theory of relations of production, marketing theory). Then, by the guidance of the theoretical foundation, we study the intension of corporate governance model, and it should include capital structure and ownership structure characteristic, organizational structure characteristic and control characteristic. Three respects relate and restrict mutually, they determine the quality of corporate governance model. Finally, we study the improvement of the financial incentive mechanism on the basis of the effective corporate governance model, putting emphasis on constructing the overall incentive mechanism with rational disposition of the ownership of property. It analyzes the improvement of the financial incentive mechanism, corresponding to ownership and capital structure characteristic, organizational structure characteristic and control characteristic in corporate governance model. Different benefit entity is corresponding to different incentive mechanism because they are in different control position to corporate governance. So incentive target with comprehensive balance have a reality further. It gives a new way for the research on financial incentive problem in corporate governance. It is advantage to improve the financial incentive mechanism and enhance the efficiency in corporate governance.