The Corporate Governance Of Listed Companies In China

Corporate governance is a hot topics that economics and finances discussed in recent years, local practice field and theories field from each own angle set out it's study to pile up one after another. The emergence of Corporate governance coming from the modern business enterprise system which result in the separation of enterprise ownership and control power of enterprise. As early as in 1776 a huge work《sthe Wealth of Nation》,which wrote by Smith ,speak of",The board directors of the company, what to manage is others money rather than their own, hence can't affirm, they would not like look after look after the property of the others carefully. ……In practice neglect and waste always will gain an advantage but go into more or less." The modern research on Corporate Governance at the earliest stage is Berle and Means(1932), they firstly put forward in the American capital market, and hold the agency relation between shareholder and the management, carrying out agency theories into action of corporate governance. They came to Smith's(1776) standpoints, they think, because of the ownership dispersion, the shareholder had no abilities and motives in supervising the manage effectively and the manage pursued their own interest to maximize rather than the shareholders'. Injuring the shareholder benefits will lower the corporate performance thus. Difference between B&M standpoints and the classic corporate theories, usually in the classic corporate theories supposed that the ownership structure is highly dispersed. The shareholder was all the same, therefore the ownership structure had no effect on the corporate performance. Producing a dispute thus, the ownership structure is studied as a outsider variable or a insider variable. According to the research of the foreign scholars, the essential views is that the different ownership structure influenced the mechanism function of corporate governance mechanism functioning good and exertive is an essential condition of Corporate Performance, the ownership structure really had relation with the Corporate Governance. Chinese stock market has developed quickly since its establishment. Up to March of 2005, There are 1355 listed companies totally and the market value worth about a trillion. In the practice of our country capital market, the big shareholder adopts various ways to fish out the listed company, violating in the small shareholder's benefits, the internal person make decisions that favor its own but go against shareholder's benefits. These phenomenon can be seen everywhere. To improve the structure of corporate governance of listed companies, to keep listed companies operate normally, and to keep listed companies keep on the development, scholars studied on the influential factors of corporate governance widely, among those research the relation between ownership structure and companies performance was subjected to high value of the academic circles. The ownership structure is meaningful to corporate governance. It related to the long-term healthy development of the civil capital market. In view of the foreign theories, local scholars study that listed companies' ownership structure has influence on corporate governance, general concentration in usage the empirical method to study this topic, pass to apply particular assumption to verify a certain conclusion. Adopt the normal analyses and the empirical analyses together, the writer set out the system treatise corporate governance from the angle of the ownership structure, on the basis of theoretical analyze, we go forward the analytical mode of empirical research, having results in adjustment of ownership structure. This paper centers on relation between the ownership structure and corporate governance, it including five parts. In chapter 1, we introduce basic theories of corporate governance.As the start of this paper, this part depict the evolution of the enterprise system, pointing out that the modern enterprise system is a system to evolve inevitable, it produced the special agency problem at the time o...