Study On The Relationship Between Top Management Team Characteristics And Business Performance Based On Listed Family Business

With the rapid development of economic globalization and China’s economy, the market competition is growing, the environment of the family enterprise becomes more and more complex, due to the increased uncertainty of decision, if you want to work out the right corporate strategy in such a changeable environment and let the enterprise obtain the competitive advantage, which to rely the ability of individuals is not enough,but need the entire executive team’s strength.From the view of enterprise resources and ability, the enterprise executive team is not only the combination of resources, knowledge and ability of the body, but also the gather of enterprise organization and the environment,which is the key to establish a strategic advantage.For the based family enterprises,in order to improve the enterprise performance and enterprise’s growth ability, to create more fortune, the enterprise pay more attention to the implementation of enterprise management condition and strategy efficiency. This certainly cannot do without an efficient, reasonable executive team.This paper will research and analysis the characteristics of the top management team, explore the relationship between it and firm performance. It is hope to provide a theoretical basis for the establishment of a healthy and efficient TMT.Through the analysis of the domestic and foreign existing research results and the review of related literature, this paper sums up the scholars of the concept of family business, and gives the author defined on the family enterprises; secondly, discusses the related theories of the TMT of family business and company performance, while a clear definition of the TMT and t the connotation of enterprise performance;thirdly, introduces the development status of family business in home and abroad. Based on the theory, constructs the relationship model of the TMT characteristics of family enterprise and firm performance, and carries out empirical study.This paper collects 135 based family business as samples, the characteristics of TMT include four indicators,which are the TMT of educational level, professional background heterogeneity,the number of family members in TMT and whether the family members served as chairman of the board or the general manager. the business performance specific indicators of solvency, profitability, operation ability and shareholder profitability index. The use of SPSS18.0 statistical software, this paper study on the relationship between top management team characteristics and business performance and carry on the empirical research, the study find a positive correlation with the level of education and the solvency, profitability;the TMT of professional background heterogeneity and the operation of the business ability has a positive correlation; the number of members in the TMT and the business earnings ability,shareholder profitability has a negative relation; family members served as chairman or general manager and business operation ability has a positive correlation.Based on the research in this paper, the characteristics of top management team have different effects on the business performance, this paper makes an analysis about it. The research results of this paper will provide a theoretical basis to build the TMT of family business.