Empirical Research On The Influence Of Ownership Structure To Corporate Performance Based On Real Estate Listed Companies

The real estate industry as the country’s basic industry has a great impact on the national economy. Study found that, the real estate is an industry which does the largest contribution to GDP. The average value of its contribution to GDP is up to 17.26%, the contribution rate in the developed regions is higher. The real estate industry is associated, wide-ranging. And it requires a lot of money in the course of the operation, involving credit, insurance and other financial sectors. It is also inseparable from the construction, building materials, cement, steel and other industries. According to statistics, in our country, housing investment increased by 1 billion which would lead to 147.9 million in 23 related industries, and up more than 60 directly or indirectly related to the industry has been driven. Seen in this light, China’s economy has maintained steady and rapid development, which is inseparable from the support of the real estate industry. The performance of real estate industry is good or bad that has a direct or indirect relationship to the benefit of dozens of related industries. So the influence of the ownership structure of the listed real estate companies to corporate performance has a strong theoretical and practical significance.The main content of this paper is the influence of the ownership structure of the listed real estate companies to corporate performance. Firstly, this paper summarized related outcomes of foreign and domestic researchers about Ownership Structure and Corporate Performance. Thirdly, this paper elaborated related corporate governance theory with the ownership structure and corporate performance. They are Property Equity Theory, Separation of Ownership and Control Theory and Principle-Agent Theory. Fourthly, this paper described the current situation of ownership structure and the corporate performance of listed real estate companies. On the basis of above narration, this paper selects financial data of 101 Real estate Listed Companies in 2011 to 2013; analyzes the relationship between ownership structure and corporation performance using regression analysis by comprehensive corporate performance obtained by Factor Analysis Method as dependent variable and by the proportion of stated-owned shares, the proportion of legal persons shares, the proportion of tradable shares, the proportion of first largest shareholder, the proportion of top five shareholders, the squares of proportion of top five shareholders and Z values as arguments.The conclusions are as follows, the proportion of state-owned shares, ownership balance has no significant effect on corporate performance; legal person shares, ownership concentration(proportion of the first largest shareholder, the proportion of the top five shareholders, the squares of proportion of top five shareholders), has a positive impact on corporate performance; tradable shares has a negative effect on corporate performance. On the basis of theoretical and empirical analysis, this paper presents four measures and suggestions to optimize ownership structure and improve corporation performance. First, listed companies should increase the proportion of legal person shares; second, listed companies should vigorously develop institutional investors; third, listed companies should strengthen the degree of ownership concentration and ownership balance; forth, listed companies should perfect laws and regulations, also should strengthen supervision.