Research On The Relationship Between Executive Turnover And The Corporate Performance Under The Transfer Of Controlling Rights

With the issue of the measures for the administration of material assets reorganization of listed companies in 2016,A-share public company which faced with the transfer of controlling rights has reached 58 cases.The news of executive turnover often appear on the television.But because of the incomplete of our controlling rights market,the transfer of controlling rights presents inefficient and we can hardly evaluate the corporate performance in a proper way.Many executives in our country are appointed by the government,which led the executive political deviated from the interests of the company.With the improvement of the legal and controlling rights market,the low efficiency of the executives are facing with the threat of replacement.Turnover the unefficiency executives becomes the key point of the transfer of controlling rightsAs the most important human capital of the company,executives are called as “a rudder”,who are in the core position and has the right to operate and decision-making.The corporate performance often depends on the executive management and operational capabilities.To achieve the profit maximization,the owner tends to take some incentive measures to increase the loyalty of the agent.Besides,evaluate the executive performance in appropriate monitoring mechanism,turnover the unefficiency executives is indispensable.Consequently,executive turnover has a very important impact on governance performance,how to locate the executives correctly,what has executive turnover influence on the corporate performance has been studied for a long time.Many scholars have researched for a long time,but there is not an unified conclusion at present.Based on the relevant theories,select 280 non-financial A-share public companies in which transfer of controlling rights have taken place as the basis of sample?Determined the dependent variable by using the index system method,to enhance the reliability of our research,mainly use the factor analysis.And designed the independent variable on the basis of predecessors' research,establish the model according to the assumptions,and then analysis the problem through descriptive statistics and Logistic regression analysis.What's more,we changed the dependent variable so as to check the effectiveness for we have done.The empirical results showed that executive turnover often took place along with the transfer of controlling rights,which always can be seen as a kind of positive measures for the corporate performance.And we found that executives holding the equity will also affect the corporate performance,according to the theory of management and management defense power,high equity will cause the behavior of rent-seeking,which lead to the damaged of the corporate performance.In a nutshell,we can absolutely conclude that the higher equity is,the worse the corporate performance will be.Finally,combined with the situation of controlling rights market in our country,put forward the policy recommendations,which can promote the efficiency of the corporate performance.Hope to provide the theoretical basis to perfect the environment of the controlling rights market in our country.