A Research On The Relationship Between Ultimate Shareholding Structure And Corporate Performance Of Listing Company In Manufacturing Industry

The relationship between ownership Structure and the corporate performance has been the focus of academic debate. Despite the large number of existing theoretical and empirical research, they did not form a consistent point of view .The point that exploring the pyramid shareholding structure and considering endogenous variables made the study in this field has a strong theoretical and practical guidance value.Based on the background, this paper firstly sums up achievements of theoretical and empirical study in existence and points out three breakthroughs and that exploring the pyramid shareholding structure and considering endogenous variables are the direction of study in this field. Then it makes research on one certain industry–manufacturing industry and explores the ultimate shareholdings .From the descriptive statistics and case study, it finds out differences between the frame of ultimate and secondhand shareholding structures.According to the outcome of descriptive study, this paper empirically studies the relationship between ultimate shareholdings and corporate performance. The outcomes indicate that there is u pattern curve between ultimate shareholdings and corporate performance, and the nature and layers of ultimate shareholder both have important influence on this relationship while the function of ownership balances is not obvious .Lastly , the fifth chapter considers exist researches on the endogenous structure in the framework of the theory of adjusting cost, and empirical research proves the endogenous in both shareholding structure and corporate performance and the adjusting cost. Moreover, it analyses the adjusting procedure. And the adjusting speed of shareholding structure is positively correlated to the extent of information asymmetry and the stock price volatility while negatively to the number of insiders. Meanwhile, the adjusting speed of corporate performance is negatively to the sunk cost and pricing power while positively to the financial leverage and volatility of stock return. After summarizing conclusions, it gives suggestions as improving the legally binding system, strengthening internal incentive mechanism, regulating the securities market information disclosure rules and the social media monitoring.