The Research Of Ownership Structure Acting On The Corporate Performance Before And After The Split Share Structure Reform

Shares in listed companies are divided into tradable parts and non-tradable parts because of the split share structure, resulting in a high concentration of company shares. This power allocation and ownership structure is not conducive to corporate governance, hindering the company’s performance improvement. Over a decade, this problem has not been resolved properly and China’s capital market made little progress. The split share structure became the urgent issue which needed to be improved in listed companies. After the split share structure reform, the problem of the split share structure had been resolved, making share ownership structure changed significantly. With the changes, public concern about what effect will be brought about to the listed companies, and whether the company’s operating performance can be improved because of changes in ownership structure change. The thesis also focuses on these questions and will make efforts to study them.The article first discusses the characteristics of split share structure reform, explaining the reform’s impact on the ownership structure in listed companies and analyzing the changes of ownership structure before and after the reform. The changes of ownership structure make the way the company’s management different. These will act on corporate governance and then affect the company’s operating performance ultimately. On the basis of reviewing the research literature and some theories, the thesis studies the operating performance of listed companies before and after the reform with theoretical analysis and empirical analysis.After the split share structure reform, all of the shares of listed companies are defined as tradable shares. The proportions of state-owned shares and corporation shares have been gradually reduced during the reform. With the change of the non-tradable shares and the rise in the proportion of circulating shares, ownership structure of listed companies has been improved. Optimization in the ownership structure makes the distribution of governance power more reasonable. The majority of the shareholders have the same interest.The listed companies have also become increasingly markert-oriented.These changes are beneficial to the company’s internal operations and external business, thus contributing to the company’s performance improvement.Basising of theoretical analysis, this thesis select a certain number of sample companies for empirical analysis considering the time of the split share structure reform. This thesis studies the relationship between the ownership structure and the corporate performance from the two sides of ownership type and ownership concentration, finding ownership structure significantly affects the operating performance of listed companies before and after the split share structure reform and the corporate performance in general has been enhanced after the reform. Therefore, promoting the split share structure reform and making efforts to achieve the full circulation of shares can form the common interests between various types of shareholders and can make all shareholders pay so much attention to how to improve the efficiency of corporate governance. With the exertion the corporate performance can really make big progress.