Governance Environment、Family-controlled And Cash Dividends

In recent years, the proportion of family enterprise is gradually increasing in listed companies, and the amount of company what make tunneling increase. The conflict of interests of the controlling shareholder and minority shareholder make tunnel effect happen. So the cash dividend payment is low, what damaged the interest of minority shareholder. More and more researchers begin to study how protect the minority shareholder. Most of previous studies concern internal corporate governance, while ignoring the external environment governance environment impact be equally cash dividends. In this paper, agency theory is the theoretical basis. First, we make the separation of controlling rights and cash flow rights,and whether founding family business as a proxy variable, to verify the family shareholder to control the impact of the willingness to pay cash dividends and payout ratio. By regression analysis, and then grouped by the level of the governance environment, as well as adding a cross by regression analysis, we study whether in better governance environment, family control company will reduce the impact of the cash dividends.