Research On Organizational Slack And Corporate Performance Under The Moderating Roles Of Corporate Governance

Resources are an important factor in creating competitive advantage in a fierce market environment.The uncertainty of the external environment and the difficulty of resource acquisition make the organizational slack retained within the enterprise becomes a key resource for stability and development.Scholars have a lot of research results on the relationship between organizational slack and corporate performance,and the conclusions are different,but the impact of specific organizational slack types on performance is rarely analyzed,and most of research stay on abstract types.In addition,existing research on organizational slack and corporate performance only stays in the discussion of themselves,ignoring the internal traits such as the internal governance environment may have a potential impact on the relationship,in fact,corporate governance as a resource decision-making basis for configuration and integration has a major impact on the role of organizational slack,and different corporate governance systems can lead to very different performance outcomes.Based on the above considerations,this paper selects the automotive industry as the research object,and takes corporate governance as the moderator variable,deeply explores the relationship between organizational slack and corporate performance,enriches the research on organizational slack and corporate governance,and provides some advice for automotive companies.Through the summary of the related literatures on organizational slack,corporate governance and corporate performance,combined with the principal-agent theory,stakeholder theory,resource dependence theory and other research theories,this paper constructs a theoretical research model,financial slack and human resource slack as independent variables,explore their impact on corporate performance,and take the five dimensions of corporate governance as moderator variables,such as power concentration,independent director involvement,equity concentration,nature of enterprises and executive incentives,to analyse the changes in the relationship between organizational slack and corporate performance under the moderator of governance factors.The empirical part selects the financial data of 74 A-share motherboard automotive companies listed in 2013-2017 as data samples,and uses regression analysis to verify the theoretical assumptions.The results show that: First,there is not simple linear relationship between financial slack,human resource slack and corporate performance,but U-shaped relationship.Second,power concentration,independent director involvement,and state-owned attribute weaken U-shaped relationship between financial slack and corporate performance,equity concentration and executive incentive strengthen the U-shaped relationship between financial slack and corporate performance;third,independent director involvement,equity concentration,state-owned attribute,executive incentive weaken the U-shaped relationship between human resource slack and corporate performance.The influence of power concentration on human resource slack and corporate performance is not significant.The research results show that enterprises should find out the types of organizational slack and their stocks,optimize the internal governance environment,use internal governance features to effectively use organizational slack,rationally allocate internal resources,adjust business strategies in time,and improve corporate performance.