The Study On Listed Companies About Effectiveness Of Governance Structure In China

In the21st century, as the exposure of financial, management and other aspects of many large companies in the world, many flaws in the corporate governance were fully exposed. America is a classic example. The Financial Crisis in2007also improved the imperfection of the corporate governance structure. The battle for the control of Guomei also has highlighted the existence of our national problem in the aspect of corporate governance issues. The importance of corporate governance for the company makes the issue to an unprecedent height, and globalization of capital markets on corporate governance is also put forward higher requirements. In view of this, a number of countries have introduced measures to improve the governance structure of listed companies, allowing listed companies to operate more efficiently. How to improve the corporate governance structure so as to improve corporate performance and micro-foundation for a market economy, becomes a major issue in front of us. In this paper, a study is researched from the following aspects.The first part of the article is introduction,which focuses on background, meaning,and describes the main research ideas and content, innovation of this paper. The second part discusses the theory to explain the theory of corporate governance, including corporate governance theory, theory of corporate governance structure and corporate governance effectiveness of the theory.The third part is the empirical analysis.This part is the center of the article,which takes the use of quantitative analysis and qualitative analysis of the samples’ data. And it analyzes various factors, including corporate governance, shareholders, board of directors, supervisors, manager’s effectiveness of governance structures, and in accordance with samples’ data of various factors and the relationship between corporate performance, the model obtains for analysis. The fourth section summarizes the conclusions of this study, and proposes relevant recommendations to improve corporate governance.This article is based on the theory of corporate governance, combined with the current governance structure of listed companies in China. Based on the samples’ data and empirical data, through a combination of quantitative and qualitative methods, the paper analyzes the listed companies effectiveness of these four factors,which are shareholders, board of supervisors, managers of several major corporate governance structure,and studies the impact on corporate performance.Finally,the following conclusions are put forward:(1) From the view of point functional of design of the meeting and its implementation,the general system of shareholders of listed companies is becoming more perfect, and its running is also effective. But the relatively concentrated ownership let large shareholders to invade the interest of small shareholders;(2)The system of board is improving, and the independent director system has spread, basically it gets the best board size scale of10, but independent directors still cannot play fully their roles in decision-making and oversight;(3)The design of the system of the board of supervisors in the listed companies also tends to improve, and the proportion of employee-directors has a greater increase than it was before a decade. But there is a problem which is the duties overlap of supervisors and independent directors, and the law of responsibilities of supervisors is not detailed enough. And the quality board of supervisors and professional personnel is not enough, as the role of supervision the board of supervisors of the "rear-mounted" is weakening;(4) Managers of listed companies are still unable to escape the situation of the control of the board of directors or major shareholders, and from another perspective of the corporate governance structure, the high incentive and restraint mechanisms will help managers to play his role so as to improve the corporate performance.