The Research On Governance Structure Of The Corps' Listed Companies Based On Performance

There is few corporate governance structure with an uniform mode, while many factors such as different regions, economic development levels as well as different cultural backgrounds and so on, would make corporate governance structures present different features. Referring to the advanced corporate governance model is a compulsory course for Chinese listed companies, though China should not copy the common international mode, at the same time the Corps'enterprises also need to build corporate governance structure according to its own characteristics.As a part of Chinese listed companies, the Corps'listed companies, compared with others, have both a number of its own characteristics and something in common. This thesis pays the attention on the relationship between governance structure and operational performance of Corps'listed companies, with the purpose of providing rational proposals to improve the governance structure of Corps'listed companies, enhancing their operational performance, and consequently exploring a road to improve the corporate governance structure of Chinese listed companies.This paper takes the governance structure of the Corps'listed companies as the research objective. Basing on the research results by scholars both at home and abroad, the first part of the essay gives out a comprehensive summary of the meaning of corporate governance, those basic theories about it, and theories concerning the relationship between governance structure and operating performance.Secondly, this thesis displays a comparative analysis of Corps'listed companies from four aspects:the operational capacity, profitability, solvency and growth capacity. On the basis of above analysis, this thesis has used the theory of factor analysis to executive a scientific evaluation on the operating performance of the Corps'listed companies.Then the writer analyzes the status quo of the governance structure of Corps'listed companies from the three important aspects:ownership structure, the board and the incentives of the panel. Finally, a research of the relationship between Corporate Governance Structure and business performance of the Corps'listed companies has been accomplished by using the method of linear regression. Moreover, with the example of SUNON GROUP, we make a detailed analysis of the governance structure of the Corps'listed companies.Empirical results show that there is a negative correlation between the operating performance and the holding ratio of the largest shareholder of the Corps'listed companies, whereas, the operating performance has no obvious relationship with the proportion of corporate shares, tradable shares and the holding ratio of the top five largest shareholders.As to the aspect of Board, the operating performance of the Corps'listed companies has an inverted U-relationship with the board size, a positive correlation with the proportion of independent directors, and a negative correlation with the number of annual meetings of the Board. On the incentives of the panel, the operating performance of the Corps'listed companies has a negative correlation with the annual pay to executives.Based on the above studies, the article proposes a strategy to improve the governance structure of the Corps'listed companies, that is, optimizing the ownership structure, improving the independent director system, and designing a proper panel incentive system.