A Study On The Relationship Between Mission Statement And Corporate Financial Performance:Based On The Elements Perspective

Mission statement has clearly defined the range of enterprise's present and future goals,which can reflect enterprise's values,tenets,and ideologies synthetically.Each enterprise has its own unique mission that lead to the right direction successively.Mission statement is the precondition of making enterprise's strategies,which is why the development and management of an enterprise are all based on it.At the same time,the mission statement can indicate the enterprise's inner values,running management and daily behavior,which have all became the important components of gathering employees together and keep fight for it.Last but not least,the mission statement should be able to balance the profits relationship in and out of the enterprise in order to set a good example and an harmonious atmosphere for the future development,and then improve enterprise's financial performance.This paper has also adopted the nine standards of mission statement from Fred R.David,which has improved the limitation of previous researches.The 700 enterprises samples in this paper were selected from about 2800 listed companies in Shanghai &Shenzhen's A Share's Index,which involved various categories,areas,cooperation,and companies,and finally,we have obtained 389 enterprise's data of mission statement and financial performance.Moreover,we took the enterprise nature,industry type and scale as regulated variate,and took the number of years since the company has been built,its location,and its GPA as the control variate to explore the relationship of Chinese enterprises between mission statement and financial performance.First of all,grade the samples' mission statement with the content analysis,while searching their financial data.Then,we descriptively analyzed the data with SPSS21.0 and finished the correlation analysis and regression analysis on them.Also,we discussed the nature of enterprise,types of industry,and scales of enterprise,and their influence on the relationship between mission statement and financial performance,and experimented them with the hypnosis in this paper.The result shows that the relationship between mission statement and financial performance is positive correlation,so do the relationship between components of mission statement and various enterprises.In the duration of analyze regulatory effects,we adopted the method of regression analysis in groups.The regulatory effects of enterprise's nature are various in the relationship between mission statement andnet assets returns ratio,in which the effects of national enterprises is greater than them of private enterprises.But regulatory effects of the nature of enterprise in the mission statement and the sustainable growth rate have not been verified.The regulatory effects of the nature of enterprise in the mission statement and the sustainable growth rate also have not been verified.Due to the inability of eliminating the direct influence of scale of enterprises on the financial performance,the regulatory effects in gourds also cannot be verified.This research will be of help for the enterprises to accustom their own mission statement,improve their management and performance and finally to form a successive and solid enterprise.