Research On The Female Executives Of China’s Listed Companies And Corporate Irregularities Behavior

In recent years, Characteristics of the executive team has become a focus and hot issue in academic research. Research towards characteristics of the executive team has two directions:one is research on the relation-ship between the characteristic of Top Management Team and corporate governance; another is research on the relationship between the characteristic of Top Management Team and firm performance. Research literature on the characteristics of the Top Management Team is very rich at home and abroad. With the rise in the proportion of females executives, research on the Top Management Team has differentiated a new research direction, which is research on the result of female executives involved in corporate governance. With the improvement of women’s social status, female executives in the company get more and more attention. But the current situation in most domestic listed companies is female executives in the company executive team is still in a very low level. This situation will not last long because Britain, Norway,Sweden and other countries have begun to pay attention to the ratio of women executives in the company’s executive team, some countries even plan to introduce relevant laws and regulations to protect the minimum proportion of female executives, which is import-ant for increasing the proportion of female executives in listed companies. Attention to the proportion of female executives is mainly based on two reasons:one is social and ethical requirements. With the improvement of the social status of women, requirements of female executives involved in corporate governance have become increasingly intense. Another is the board of gender diversity brings actively positive effect to the enterprise. Therefore, study of female executives is necessary and it makes sense.As China’s economic take-off, the continuous development of the securities market, listed companies irregularities concern more and more people. Successive irregularities of listed companies, not only violated the interest of minority shareholders, but also seriously disrupted the normal development order of China’s securities market, and bring adverse impact to the healthy development of China’s market economy. Securities Regulatory Commission and the relevant national regulatory authorities are constantly studying how effectively prevent and mitigate irregularities of listed companies. According to the principal-agent theory and the theory of corporate governance, scholars believe that irregularities has closely relationship with corporate governance of listed companies, therefore conducted a series of studies of corporate governance and enterprise irregularities. I believe that,despite the violations of listed companies is inseparable from the issue of corporate governance structure, but the matter is whether the subject of irregularities corporate governance, must return to the study of executives of listed companies finally. Study on the executives of listed companies and enterprise irregularities is very rare at home and aboard, research literature from the perspective of female executives to studying corporate governance violations even rare. Given the important role of female executives in corporate governance continue to highlight and serious consequence of corporate governance violations, this paper attempts to study the violations of listed companies from the perspective of female executives. The research of the relationship between corporate governance and irregularities has an important significance for regulating the behavior of listed companies in China and promoting the healthy development of the market economy.Based on this research purposes, this paper attempts to study female executives and corporate irregularities by two levels. First, study the relationship between female executives and corporate irregularities to verify female executives can indeed reduce enterprises irregularities. Considering the integration of data, this paper will give up dividing the sample data into two groups——whether have female executives——to comparatives study. Proportion of female executives as female executives of listed companies scale indicator, examine the impact of female executives involved in corporate governance on enterprises irregularities. Among the rich research literature on the study of female executives involved in corporate governance, many scholars believe that female executives impact the corporate governance mainly by affecting the intensify of Board Governance. According to the existing research literature, taking the research of enterprise irregularities into account, this paper creatively consider female executives impact corporate governance by affecting the strength of Board of Supervisors. Thus this paper combines Board Governance and Board of supervisors Governance, and put the intensity of regulate as indicators of the strength of Board Governance and Board of supervisors Governance. Therefore, this paper will put the regulatory intensity as a mediating variable regression analysis. After verifying the female executives reduce illegal behavior of listed companies, this paper conduct a second-level research which is what are the characteristics of female executives have a significant impact on reducing corporate violations. To this end, this paper study the characteristics of female executives and enterprises irregularities from the age of female executives, educational background and working time. Considering the intensity of the collected data, in this study, we do not use professional background characteristics. But in the actual study, professional background characteristics of female executives is an important characteristics affecting behavior of female executives, which is inadequate of this study.This article data is selected from all the A-share listed companies from2006to2010. After removing the data does not meeting the condition, we select854listed companies as samples ultimately. The proportion of female executives as explanatory variable, the regulatory strength as mediating variable, whether violation of listed companies as explained variable, company size, ownership concentration, board structure, the nature of the actual control and investment return rate as control variables, we conduct a descriptive statistical analysis, Pearson correlation analysis and Logistic regression analysis. The empirical results show that female executives of listed companies involved in corporate governance reduce significantly of enterprises irregularities. Further study of female executives age, educational background and serve time for the explanatory variables, whether the violation is explained variable, company size, ownership concentration, board structure, the nature of the actual control and investment return rate as control variable, we conduct a descriptive statistical analysis, Pearson correlation analysis and Logistic regression analysis. The results showed that female executives of listed companies age and educational background characteristics is significantly negatively correlate with corporate irregularities. Serving time negatively correlate with corporate irregularities, but the regression results were not significant. Further research present findings in this paper, the main conclusions of this study:First, female executives participate in the governance of listed companies can indeed reduce violations. Second, female executives participate in corporate governance can enhance the regulatory strength of the board and the board of supervisors. Third, the regulatory strength plays a significant intermediary role between female executives and corporate irregularities. Fourth, the age characteristics of female executives showed a significant negative correlation with corporate irregularities, that is the larger of the average age of female executives, the fewer irregularities will listed companies present. Fifth, education background characteristics of female executives show significant negative correlation with enterprise irregularities, that is to say, the higher the degree of female executives, the fewer violations will be. Sixth, severing time of female executives show a negative correlation with enterprise irregularities, but the regression result is not significant.The innovation of this study:First, Cut from the perspective of female executives to study corporate irregularities, it is necessary and also rich in theoretical and practical significance. Second, proceed research on female executives by two1eve’s, study the relationship between female executives and corporate violation, and then study the relationship between characteristics of female executives and corporate violation. Third, in terms of selection and testing of mediating variables, combined with previous studies, put forward mediating variables of this paper, and conduct a complete test. Although this article has some innovative research, but it also exists the shortage of the research, Mainly displays in:One is in the study of the relationship between female executives and corporate irregularities, based on data operability, this paper will give up dividing the sample data into two groups——whether have female executives——to comparatives study. Second is in the study of the relationship between characteristics of female executives and corporate irregularities. Given the complexity of the data, this paper do not consider professional background characteristics of female executives in equation mode. Three is in the control variable selection, without considering the industry and the annual control variables are inadequacies of this article.