Correlation Analysis Of Ownership Structure And Corporate Performance

The relationship between ownership structure and corporate performance has been the topic of economic sector, business circles and capital market research. Shareholding structure is a very important and complicated issue in finance theory. The rights and obligation of enterprises stakeholders is concentrated on it, and it will have a major impact on the corporate governance structure and the value of enterprises. Rational equity structure will improve the standard behavior and the value of enterprise. From the international point of view, academics and corporate managers has accumulated a considerable amount of research results in the field of relationship between ownership structure and corporate performance. Based on the corporate governance model of overseas company, it has always been an important topic to search for a certain equity structure to upgrade the corporate performance in Chinese national conditions.1. The Research PurposeBy using the empirical studies, the author analyses the data of listed company to test the impact of the reformation of non-tradable shares on the corporate performance. It will solve the problem of the relationship between ownership structure and corporate performance, and carry out supports to improve the equity structure and enhance the corporate performance.2. Main Contents and ViewpointsThe dissertation is composed of five chapters.ChapterⅠ, Theoretical analyze of Ownership structure, corporate governance and corporate performanceThis chapter mainly expounded the basic meaning ownership structure, corporate governance and the corporate performance, also it explains the relationship between ownership structure and corporate performance. The connotation of ownership structure can be explained in quantity and quality. Quality stands for the shareholders'property, while quantity stands for the equity concentration. Ownership structure affects the corporate performance through the cost and the efficiency of the corporate governance.ChapterⅡ,Literature Reviewing and CommentThis chapter reviews the internal and external academicians'research results of the ownership structure and corporate performance. External academicians research this problem mainly from the formation and the content of the ownership structure, while internal academicians mainly from equity concentration. This dissertation summarizes the reason why the conclusions which consulted by internal academicians are different. These reasons give the instruction to the empirical data design and sample selection.ChapterⅢ,Ownership Concentration,Shareholder Properties and Corporate PerformanceThis chapter further analyze the relationship between corporate performance and ownership concentration,shareholder properties. Shareholder properties impact on corporate performance by various shareholders affecting the decisions of the Board and senior managers,which is considered as the qualitative function,while ownership concentration through the corporate governance mechanisms,which is considered as the quantitative function. The theoretical discussion provides the basis to the latter empirical analysis and conclusion explanations.ChapterⅣ, Empirical Analysis : Correlation between Ownership Structure and Corporate PerformanceThis chapter chooses the data from 2005 and 2006 medium Financial Statements of 46 listed companies which carried out the reformation of non-tradable shares to test the relationship between ownership structure and corporate performance. After the empirical research,the result indicates that all performance indexes pass the first three hypothesis,only LnAMBR pass the fourth hypothesis. The empirical conclusion indicates that the reduction of the ownership concentration doesn't adversely affect the corporate performance. The dissertation carries in NCFOE as the performance index,in the author's opinion,supposing Cash-flow as the performance index,can be a new angle to investigate the relationship between ownership structure and corporate performance.ChapterⅤ,Policy Suggestion Basing on the theoretical explanations and empirical analysis,this chapter provides the suggestion to improve the ownership structure of Chinese listed companies and to enhance the corporate performance in the situation of Chinese capital market.3. Main Contributionsa. The dissertation made a research of the relationship between ownership structure and corporate performance on the background of the non-tradable shares'reformation in the Chinese capital market.b. The dissertation refers the author's different comprehension of the relationship between ownership structure and corporate performance.c. In the aspect of optimizing the listed companies'ownership structure,the dissertation advised to take the listed family company as a pilot.