Statistical Analysis Of The Impact Of Ownership Concentration On Corporate Performance In Small And Medium Sized Enterprises

Since established in 2009, The gem market in China gathered a lot of high growth of listed companies which as a cradle to hatch high-tech and growth companies。 But for newer and smaller, the equity structure is often poor, and the major shareholders often encroach on the interests of small shareholders, so the corporate governance situation is not optimistic。 In general, the pros and cons of equity structure is crucial for the development of a company.Optimize equity structure can effectively promote the development of the company, often have unexpected effect; And the unreasonable equity structure will affect the corporate governance, and then affect the performance of the company.Reasonable ownership structure can lead to higher enterprise value, and ownership concentration is the main indicators of equity structure。 The purpose of this paper is to objectively reveal the ownership structure of gem listed company, study the ownership concentration effects on business performance, so as to provide reference for perfecting the corporate governance mechanism。 In this paper, the characteristics of gem listed company ownership structure is analyzed, using the Factor analysis method to establish comprehensive performance evaluation index, make use of the advantage that the Quantile regression model can be used to describe the entire conditional distribution, respectively make the empirical analysis to study the influence of ownership concentration on corporate performance under the three kinds of control mode (equity scattered, relative holdings and absolute holding) to the gem listed company which are different from performance 。 The results show that there is a positive correlation relationship between ownership concentration and corporate performance of listed companies, but the strength and significance for company vary among different characteristics。 Finally in this paper, through empirical analysis it is concluded that:the company’s operating characteristics are the important factors that affect the company ownership concentration, the operating status of different companies is different from the relationship between ownership concentration and corporate performance.It was also because of this, this paper argues that equity concentration levels can only enhance company performance as reference indicators, and not as a criterion of effective corporate governance and the implementation method. So the key to promote gem listed company performance has two points:first accept the actual situation of the high ownership concentration, to strengthen the supervision and restriction of the controlling shareholder, effective constraint and limit the power of controlling shareholders, and gradually perfect the mechanism of small and medium shareholders to participate in corporate governance.Second, different management present situation of the company should explore its ownership concentration should keep a reasonable range, which is helpful to handle well the shareholders of a company’s distribution of power, perfect the corporate governance structure, improve the company’s operating performance.