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Ownership Structure And Governance Performance Of Related Research

Posted on:2004-03-11Degree:MasterType:Thesis
Country:ChinaCandidate:X Y LiuFull Text:PDF
GTID:2206360092998664Subject:National Economics
Abstract/Summary:PDF Full Text Request
Much attention has been paid to the problem of corporate governance caused by dominated shareholders in the society, and there is still much dispute among scholars about it. With empirical method, this paper examined the relationship between the ownership structure and the firm performance based on a sample of 63 listed textile companies, and finds out that: (1) There is no significant relationship between the ownership concentration degree and company performance. (2) The proportion of state ownership and that of the corporate ownership is negatively related to the company performance, whereas the proportion of circulating shares is positively related to firm performance. This result implies that there exists a problem of internal governance failure in the listed companies, and reducing the state shares fraction is beneficial for us to deal with the problem of internal persons control and to improve the governance of the listed companies. This paper thinks that: (1) It should be avoided to regulate the ownership concentration degree of listed companies by administration means. (2) The representatives of state ownership should exercise their rights within the framework of corporate governance mechanism, and focus on the index of firm performance when they evaluate their appointment. (3) When establishing a company, we should avoid forming a superficially diversified ownership structure. (4) Through introducing the independent directors and representatives of the institution investors, who have the governance ability, to the board, we will be able to improve the performance of listed companies.The conclusion about the corporate ownership is the creative point of this paper.
Keywords/Search Tags:Listed Companies, The Ownership Structure, The Effectiveness of Corporate Governance, The Corporate Shares, Empirical method
PDF Full Text Request
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