Government Quality, Corporate Governance And Value Creation Efficiency

In recent years, there is an increasing number of academic research on the influence of government quality on corporate behavior. The core of corporate behavior is the enterprise value creation, because the meaning of the existence of enterprise is to create value and Increase social wealth. As the core of enterprise’s decision-making mechanism and micro management system arrangement, the validity and rationality of corporate governance is bound to affect the value creation of the enterprise. Researching the relationship among the quality of government, corporate governance and the efficiency of enterprises to create value will help to coordinate enterprise external governance and internal governance and to promote the efficiency of value creation.This article takes China’s A-share manufacturing listed company’s internal governance mechanism as the starting point, expounding the current studies of corporate governance theory, and analyzing the relationship between corporate governance and corporate performance. We select China’s A-share manufacturing listed companies from2010to2012as research samples, investigated the influence of corporate governance on the efficiency of value creation of enterprise and at the same time examines the impact of the quality of local government to relationship between the efficiency of corporate governance and value creation of corporate. Results of empirical research found that good corporate governance can improve the efficiency of value creation of enterprise, good corporate governance including ownership structure which concentration degree and balance degree are balanced, compact size of the board of directors, a certain amount of independent directors who has real independence and with more professional committee and diligent and efficient and reasonable compensation incentive system of the board of directors. The government quality play a regulatory role for the relationship between the corporate governance and efficiency of value creation of corporate. From the microcosmic perspective, then introduce the macro factors, this article provide a new perspective to the research on performance of enterprise. Finally, As a new measurement index of enterprise performance, Science and rationality of the efficiency of value creation had been proved in this article, providing empirical basis for the application of efficiency of value creation in practice.