Research On Relationship Between Ownership Structure And Benefits From Control Right In Chinese Listed Companies

Large amount of researches have been done by Chinese academics, which concerns about the problems of controlling shareholders obtaining benefits from control right. Some empirical researches of those have shown that the private benefit from control obtained by controlling shareholders in Chinese listed companies is vast and the conclusion of controlling shareholders expropriating the benefit of minority shareholders through seizing private benefit from control is provided. Because benefit from control right composes of private benefit and shared benefit, this dissertation suggests that the understanding the essence of benefit from control and making thorough researches are the only way to value the private benefit of controlling shareholders objectively. Due to varieties of equity property of controlling shareholders and ownership concentrating in Chinese listed companies the research on the relationship between ownership structures and benefit from control must have important theoretical and empirical meanings for solving that problem above. The purpose of the research on the relationship between ownership structures and benefit from control by this dissertation is finding the internal connection of ownership structures and benefit from control and making objective conclusions on the current level of benefit from control by controlling shareholders in Chinese listed companies. The theoretical and empirical analyses methods have been used in this dissertation. The main content and results of this dissertation are as followed. Firstly, this dissertation studied the principle theories of benefit from control and deeply analyzed the essence of benefit from control. Meanwhile, the necessary condition of obtaining the efficient benefit from control was proposed by establishing a theoretical model and the theoretical basis of objectively valuing the benefit from control was found. Secondly, this dissertation theoretically analyzed the relationship between ownership structures and benefit from control and mainly studied the influence on benefit from control by equity property of controlling shareholders, ownership concentration and ownership control in Chinese listed companies. Thirdly, this dissertation proposed six research hypotheses based on the theoretical results and empirically studied the relationship between ownership structure and benefit from control. The research hypotheses are tested empirically and the hypothesis of significant correlation between equity property and private benefit of control of controlling shareholders is supported by empirical testing results. At last, this dissertation puts forward two policy suggestions based on the empirical results. One is strengthening the law protection of small and medium investors; the other is speeding up the process of transferring state-owned shares.