Research On The Impact Of Board Characteristics On The Investment Efficiency Of Chinese Cross-border Operating Companies In The Context Of “the Belt And Road”

As one of the main operating activities of enterprises,investing activities have direct impacts on the operating efficiency of the enterprise.Except this,the efficiency of social capital allocation behavior is also indirectly affected by investing activities.Therefore,the investment efficiency problem is the key point to the smooth implementation of “The Belt and Road”.As a new opportunity for global development,“The Belt and Road” promotes the transformation of global economic development and the interconnection of domestic and foreign companies.However,with the change of the external environment,the investment risk gradually increases,and the supervision on cross-border enterprises board of directors of “The Belt and Road” accordingly improves.Consequently,it has great influence on the investment results of enterprises.As a result,it is an important proposition in the current development of “The Belt and Road” that to track and study the influencing mechanism of the board characteristics changes on investment efficiency of Chinese cross-border business enterprises under the background of “The Belt and Road”.Firstly,this article uses a typical case method to conduct an in-depth comparison and analysis between China Railway Engineering Corporation and China Railway Construction Corporation which are two typical state-owned listed companies in building trades under “The Belt and Road”.On the premise that the other internal and external influence factors and corporate governance factors of the two companies are the same,this paper compares and analyzes the influences of board characteristics differences on the investing efficiency.The study finds that China Railway Construction Corporation Limited,which has more board meetings and lower percentage of independent directors has a higher investing efficiency than China Railway Engineering Corporation that has fewer board meetings and higher percentage of independent directors.Secondly,based on the universality of research results,this article uses cross-border business listed companies under “The Belt and Road” as research samples to analyze regressively the influence of board characteristics on the investing efficiency of Chinese cross-border business corporations.Research shows that the higher frequency of board meetings significantly inhibits the inefficient investment behavior of Chinese cross-border business like overinvesting or underinvesting,while the bigger proportion of independent directors does not prominently control and even exert negative impacts on the inefficient investment behavior of Chinese cross-border business.The results of case analysis and regression analysis are consistent.Finally,the writer put forward specific suggestions combined with the research results of case study and empirical analysis.This study has important significance on optimizing corporate governance of Chinese listed companies,improving the investing efficiency of Chinese enterprises and promoting the successful implementation of “The Belt and Road”.