Study The Relationship Between The Nature Of Second-Largest Shareholder In Family Firm And The Corporate Value

The study about listed companies' equity nature and corporate performance has been a hot issue of domestic and foreign scholars to explore.At the same time, its main focus is on the impact of the first major shareholder's equity nature to the corporate value, or the relationship between the sharing of control and equity nature.However, our study is very few to demonstrate the equity diversification in the family firm is really able to increase the corperate value and promote the development of company.Thus, this paper is from the family trust of the enterprise-specific perspective of game theory,to analyse the relationship between the trust game of the family firm's shareholder and the corporate value.Based on the theory of domestic and foreign scholars,the paper has a in-depth analysis on the relationship between corporate performance and chinese family firm's equity nature.About the first question,based on the game theory's "grim strategies"model, this paper creates a "trust game"model, Then, it regards all the listed family companies of Shanghai and Shenzhen bourse from 2008 as the sample, establishes the corresponding multiple linear regression model,and uses the statistical software SPSS17.0 to test:when the second-largest shareholder is own people in the family firms, does it can improve the business performance? About the second question, based on the "trust game" model, this paper divides the family firm into two categories as the three-year for the standard,and to test when the cooperating time is above three years,does it can improve the business performance by a higher proportion of the second largest shareholder.This paper found that:(1) The family firm's the largest shareholder often doesn't trust others,when he faces other shareholders who are a larger change in mobility and have no no blood relationship with family firm.On the contrary, if the second-largest shareholder is our own people, then the largest shareholder is more willing to share information with them,and to promote enterprise development.(2)From the perspective of trust,there is a relationship between the cooperating time and corporate performance in the family firm of a major shareholder and the second largest shareholder, which is the second largest shareholder'sliquidity is not significant, the former will be greater confidence on the latter.This is more conducive to the development of enterprises.(3) Institutional investors are unable to gain the 100% trust of family firm, However, relative to the state-owned enterprises, taking into account the enterprise's own economic interests, the institutional investors has taken some analysis and selection to the company before the family firm to selcet it.Thus,the combination often is a powerful combination,it can increase the family firm's corporate performance.According to the discovered prombles in the empirical analysis, the paper are preparing to put forward some specific recommendations to the listed family firm:In the context of the Chinese economy, family firm should not be blind to pursue diversification of share ownership, it should be combined with its own unique corporate culture,and select a ownership structure,which can make the enterprises in the long-term sustainable development and to maximize shareholder value.