Research On The Influence Of Political Promotion Incentive On The Performance Of State-owned Enterprises Based On PSM Method

This paper studies the influence of political promotion of senior executives in state-owned enterprises on corporate performance by taking the sample of state-owned enterprises whose senior executives changed in Shanghai and shenzhen from 2007 to 2015.On this basis,taking r&d investment and diversified management as the mediating variable and equity incentive as the regulating variable,the relationship between political promotion incentive of senior executives,enterprise operation behavior and enterprise performance was studied.First of all,this paper analyze literature on the relationship between political promotion incentives for senior executives and corporate performance,as well as the political promotion incentives for senior executives and corporate operation behaviors.Secondly,it defines the concepts of senior executives' political promotion incentive,r&d investment,diversified management and enterprise performance,and sorts out the principal-agent theory,incentive theory,promotion championship theory and high-level theory.Finally,the research hypothesis of this paper is put forward.The propensity score matching method(PSM)was used to calculate the propensity score value,and the nearest neighbor matching method was adopted to carry out oneto-one matching.Then,on the basis of paired samples,the analysis of the multivariate regression,relationship between political promotion for executive incentive and Hy performance,the mediation effect of business behavior,equity incentive for the relationship between political promotion incentive and executive decision-making behavior adjustment,the inspection and discussion and analysis to the empirical results.Finally,based on the conclusion of this study,this paper puts forward some measures to improve the incentive of political promotion of state-owned enterprise executives,expounds the possible shortcomings in the research process,and looks forward to the next research work.The research shows that the political promotion incentive of soe executives can effectively promote the current performance of enterprises;Diversified management plays a part in mediating between the promotion of senior executives in state-owned enterprises and enterprise performance.Research and development investment plays a part in mediating between the promotion of senior executives and the performance of state-owned enterprises.By reducing the r&d investment,the state-owned executives can improve the current corporate performance and get higher promotion opportunities.Equity incentive plays a moderating role between political promotion,diversification and r&d investment of senior executives.Finally,based on the analysis,this paper draws a conclusion,puts forward some policy Suggestions on optimizing the incentive system for senior executives of state-owned enterprises and improving the reform of state-owned enterprises,and points out the limitations and future prospects of this paper.