Research On Relationship Between Ownership Structure And Firm Performance From SMEB

Is there a close relationship between a firm's ownership structure and performance? Logically, the model of corporate governance is influenced by so many factors, and the most important one is ownership structure. Ownership structure could influence the firm's performance, through influencing the firm's corporate governance model and collocating the control of the firm.Based on reviewing the past related literatures and taking the 50 listed companies from SMEB (Small and medium enterprise board) as the samples, I hope this paper could answer the followings, by analyzing the influence on the firm performance from the ownership structure with the data from samples'yearly report of 2005:Is the centralization of shares a big defect to the governance model of the small and medium listed company? As to optimizing the ownership structure of the small and medium listed companies, should we take an ownership structure that a firm's shares averagely hold by first several stockholders as the perfect aim? Is it true that the state-owned economy in the small and medium listed companies is worse than private economy in efficiency? Should we carry out the state-in-private-out policy unswervingly?The results of demonstration indicate that the three indexes about ownership structure have nothing to do with firm performance, not passing the F-statistic test. If the biggest stockholder of a firm is the state, the firm's performance is obviously better than others.From the hereinbefore results, we know that a centralized structure should not be responsible to the ineffectivity of corporate governance, and it's just the result of the underdevelopment of the outside governance from market in our country. As to optimizing the ownership structure of the small and medium listed company, we shouldn't take an ownership structure that a firm's shares averagely hold by first several stockholders as the perfect aim. It is debatable to carry out thestate-out-private-in policy in the small and medium listed companies.