Research On Improving Listed Corporation Governance Structure Based On The Financing Structure Perspective

Financing structure is the basis of corporation governance, so it is important to a modern company. The importance reflects on its influence to the corporation governance structure, which is just the contractual relationship between managers, shareholders and the creditors. Equity and debt financing are formation of controlling power over the enterprise, and they have different controlling forms, which constitute the corporation governance structure. This paper starts with different options of financing structure, and then it introduces arrangements of financing structure to the optimization of corporation governance structure.This paper discussed the internal dialectical relationship between financial structure and governance structure, also analyzed the influence of governance structure from ownership and credit structure of different stages by using Enterprise Life Cycle theory. According to the actual situation and the inherent requirement of our country's listed companies, it proposed the method of equity and debt structure adjustment to optimize our country's listed corporation governance structures. The text is divided into the following five sections:Chapter I, the prolegomenon briefly introduced the basis for topic selection, the purpose and significance of the research, and major research methods of this article.Chapter II, this chapter includes the fundamental concepts and theories of financing structure and corporation governance. It introduced the concept of corporation governance, then it analyzed the research status at home and abroad of the financing structure and governance structure, and then it pointed out that the current research is focused on static or comparative static analysis, which lack of dynamic considerations. The foreshadowing has been made to introduce Enterprise Life Cycle theory.Chapter III, This chapter is about internal dialectical relationship between the listed corporation financing structure and governance structure. It starts with the influence analysis about the financing structure from the two main financing methods of equity (the right to vote and the right agent) and debt financing (claims), then it put forward different options of financing structure and governance structure under Enterprises Life Cycle theory, and also analyzed and verified it by specific examples, at the same time, it analyzed the decisive role in the financing structure of governance structure.Chapter IV, this chapter is about current situation and cause analysis about the listed corporation financing structure and governance structure. It analyzed the current situation of financing structure and governance structure with specific data and examples, also comparatively analyzed the current situation of equity financing pre-and post shareholder structure reform, which showed that the ubiquitous insider control phenomenon, responsible shareholder deletion, short term behavior of institutional investors, delayed development of bond market, a dominant role of governmental bond market, softening constraint credit, abnormal bank-enterprise relationship are important reasons of corporation governance mechanisms weakening.Chapter V, this chapter is about measures of optimization corporation governance structure under the perspective of financing structure. For the problems in ownership and credit structure, it proposed measures for adjusting ownership and credit structure to optimize governance structure. In the equity structure, the corporation should strengthen the responsibility of institutional investors to the listed companies, establishment and improvement of professional managers market, rational and effective implementation of equity-based incentives, a clear regulatory responsibilities and improvement of the laws and regulations; in the debt structure, the corporation should vigorously develop bond market, and strengthen the banks' effect in corporation governance.