Research On The Mechanisms Of Capital Market's Acting On Corporate Governance In China

Along with economy reformation and the vigorous development of capital market of China, the importance of the corporate governance highlights day by day. The improvement of corporate governance is tightly connected with China's financial system reformation, especially the capital market. Our capital market just has a short history and yet has dozens problems to be solved, so when we try to use it to improve corporate governance, there will be dozens questions.From this angle, by using comparing analytical method and empirical research method, the essay first introduced three elements: the capital market efficiency, the property structure and equity structure of listed companies, stockholder voting mechanism, takeover market mechanism and stock-option urging mechanism. Then I compared the condition of our capital market and our corporation with the developed countries'. At the same time, I analyzed the condition of our capital market in details by giving a mass of examples, just to find out the main restricts of the mechanism which the capital market plays to corporate governance. At last, I present a solution based on our capital market and hope that can be useful to solve the found problems.