An Empirical Study On The Relationship Between Independent Director System And Company Performance, Financial Risk In The Chinese Listed Company

Based on the research and the practice of the independent director system at home and abroad, this dissertation gives empirical test to the relationship between independent director system and company performance, financial risk relatively.In theoretical analysis, based on the detailed induction of the theory basis of the independent director system and domestic and foreign literature, I logically analyze the independent director system. According to the theoretical analysis, I think whether the independent director system does display the function reacts in whether it can promote the company performance mostly. But the company performance is also affected by other factors such as macroeconomic, profession cycle, so only taking independent director factor into consideration is limited. Based on the analysis of Chinese independent director system, this dissertation states that independent directors play a more important role in controlling financial risk. So company performance and financial risk are considered as examined variable at the same time. Learning profits from domestic and foreign existing research results, taking both inside and outside factors of independent directors into account, and taking this as standard to divide independent variable, this dissertation lists four examination models to conduct the empirical study. The result is independent director proportion, the education level of independent director and both two examined variables-company performance, financial risk present notable positive correlation. Other variables don't pass the test.Finally, according to the theoretical analysis and empirical test, I put forward some propositions to perfect independent director system from the following: optimizing shareholder structure; raising the independent director proportion suitably; entrusting with independent director more authorities suitably; perfecting related incentive mechanism and legal constraint system; stipulating the entry requirements for independent directors; remedying the information environments for independent director to exercise rights.