Empirical Research On The Family Company Concentration Ratio Of Shares And Performance

The company performance depends on the management structure, but the ownership structure is the inside foundation of the company management. The concentration ratio of shares is the important aspect of the ownership structure, and the ownership structure influences the company management to come to the company performance of the further influence. The researches of the ownership mainly fix on the state-owned business enterprise currently, but the researches of the family company or enterprises run by private capital are very few. The family company plays an important part in our current country national economy, and it is an unneglectable part in the development of our country market economy. The family company is the business enterprise appearance which has the hugest quantity, the most complicated internal structure, the most remarkable scale difference and the specialist of the existence property.This paper study the 34 family companies of Jiangsu which appear on market in the Shanghai and Shenzhen stock exchanges before the end of 2004,and select the data of the year 2000 to 2004 from the 34 swatches. This paper chooses EPS, ROE and CROA to weigh the company performance, chooses the CR1, CR10 and Z to weigh the concentration ratio of shares, and uses some virtul variables, such as Size, Grow, Leverage, Industry, Age and T. We adopt regress multianalysis method to carry on the substantial evidence analysis.Through the study, we find : The biggest shareholder holds the positive "U" type relation with the concentration ratio of shares; The first ten greatest hareholders hold the positive "U" type with ROE and CROA.That is, at the lower ratio share concentration, the ownership of share concentration degree and the company performance present the negative related relation;and at the higher ratio share concentration, the ownership of share concentration degree and the company performance present the positive related relation.We also find that the ratio of the biggest and the second shareholder donnot show remarkable relation with the ownership of share concentration degree.