The Research On The Relationship Between Governance Structure And Company Performance In The Northeast

The corporate governance structure has always been the hot spot of businesstheory and practical circles, which is also an important measure of a country’seconomic competitiveness. While the improvement of the company performance andscientificalness of decision-making are the cores of corporate governance structure.The Northeast Three Province is an important old industry base in our country. Thetrading enterprises are playing an important role in economic in this area. Therefore,listed companies in the northeast are selected as the object in this research. Therelationship between governance structure and company performance is studied, andrelevant policy recommendations is proposed.This research analyzes the correlation between the Northeast Three Provincestrading enterprise’s governance structure and performance. Based on the research,weget some conclusions as fellows: the proportion of state-owned shares showssignificantly negative correlated to Tobin’s Q value; the variable index of ownershipconcentration also shows negative correlated to Tobin’s Q value; for previous fiveshareholders stakes, they all shows positive correlated to the ratio of the biggestshareholder and Tobin’s Q value; the annual salary of general manager shows positivecorrelated to Tobin’s Q value; the investor shows positive correlated to Tobin’s Q value.Based on empirical analysis, this thesis puts forward relevant recommendations tofor improving corporate governance structure of trading enterprises in Northeast ThreeProvinces in following respects: optimizing equity structure, furthering non-tradableshare reform, strengthening the role of board and supervisory board, adjusting theincentive mechanism of share ownership of management level, managing to attractinvestors to join our institution, Governance structure and performance theory in thenortheast listed company are increased and it will be a great help to continuouslyimprove the management level and enhance the performance of the company.