Empirical Research On The Relation Of Independent Directors And The Performance Of Enterprises In China

The independent director, as one system of corporation management, has been accepted widely. It is the research emphasis for most experts and scholars about the rationality and reasonability of carrying out the independent director system. But we must see clearly that different scholars have drawn different conclusions. As the time goes by, the independent director system in China has been carried out in most listed companies. In order to find out the reasonability of this system, we need to study the current relation between this system and the performance measurement. Only in this way can we find the obstacles and corresponding solutions for the independent director system in China.This paper analyzed the relation between the independent director and the listed company's performance as that: Based on clearly plotting out the independent director character factors and the listed company's performance character factors, we find out the relation between these corresponding factors indexes. In this paper it defines the independent director indexes as the following: the proportion of independent directors in the bond, the independent directors'average age, the independent directors'average education degrees, whether or not the independents with specialization background, etc. And the listed companies'performance indexes are defined as the following: the earnings per share; the net capital gains rate; the ratio of main business gains; the ratio of capital to liabilities; the turnover of accounts receivable; the rate of stock turnover; etc. Based on the research results of the domestic and the foreign, this paper analyzes the modern situation deeply.The listed companies have been forced to disclose the information about the independent directors in the annual financial statement since 2003 in China. This paper randomly samples the listed companies as the research object, and in the way of canonical correlation analysis examines the relation between the independent directors and the performances of listed companies. As a result we find that there are some relations between these indexes and we could draw a conclusion through the study. And the conclusion can make up for the shortages...