Diversification, The Board Features The Impact On Corporate Performance

Diversification is the business strategy, the enterprise product in response to the recession, to carry out economies of scale and the pursuit of a profit-maximizing management and some practicedmethods. Product life cycles with fierce market competition. Enterprises are to seek for a survival.Meanwhile development must take innovative brand strategy to expand the market and take the path of diversification. However, due to lack of guidance theory, diversification walks of life have been largely unsuccessful, so the diversification strategy is beneficial to increase the company’s performance which has become a hot topicrelated to diversification.It affects corporate performance study gradually on the rise as well, involving agriculture, manufacturing, tourism, media and other industries. At the same time, textile-related and diversified influences on business performance have been more on the lack. The textile industry is an important daily industry in recent years. The decline has continued developmentand guided the textile industry diversification, which has strengthened corporate governance as the same as helped to increase the performance of the textile industryout of the woods.The Board of Directors, as the company’s senior management institutions, enterprises Diversification influential performance while whether their impact would be worth studying or not, this paper will study the relationship. Not only complement the board characteristics affect corporate performance and the board characteristics and diversity between and innovatively the effects of diversification and the characteristics of the board interaction on firm performance, enriches the theory of the textile business management on the performance impact on the development of the textile industry has an important role in guiding. In addition, the study digs the board characteristic indexes. The dimensions of the board of directors extended features. Third, the researchers, presenting at the performance evaluation which is based on a number of performance management theory and performance evaluation theory literature and books, should be combined with the practical needs of economic development. The development shall update and improve the system of performance indicators used to carry out comprehensive performance evaluation method of performance evaluation. Studying and proposing indicators of this stage should be considered financial performance, social performance, environmental performance indicators and other value system. These can comprehensively reflect the company’s ability to market a broader dimension. In accordance with the concept of enterprise development and innovation mission of the times, Some added indicators can examine enterprises’ innovation ability. It not only enriches the performance evaluation theory, but also the ultimate goal and the contribution of this study.In this paper, textile listed companies as the research object, select the data from 2010 to 2014 for five years. This is the data of this dissertation. Research methods, this paper, literature and empirical research method of combining empirical study. We constructed the analysis of three variables Moderating Effect General Linear Model twenty-two relations and the interaction of the three, using SPSS /EVIEWS /STATA these three kinds of analysis software. Empirical analysis is the first use of factor analysis to identify the main indicators to measure variables, while correlation analysis and regression analysis layers of analysisstepwise screening. Therefore, making the research work to simplifyorderly progress and the results of each step of the research appear. Flying in the ointment is the characteristic dimension of the board of directors is too wide and too difficult to measurethe textile industry characteristics listed companies by influenced and diversified textile industry. The relationship between corporate governance and performance is more than complex. For its diversification, whether the board features a common mechanism of action limited to the company’s performance is still remained to be further studied.