Empirical Studies About The Inside Governance Structures And Efficiency Of The Family Business In China

With the development of the market economy of our country, the function of familybusiness is more and more remarkable day by day in society and economy. Numerousresearches indicate that the vicissitudes of enterprises, achievement quality depend on,to a great extent, whether the enterprise's inside governance structure is efficient. Theinside governance structure of family business is critical to the subsistence of the firm,also affecting it's development. For this reason, the dissertation takes the insidegovernance of family business of China as the research and analysis target.According to the study at home and abroad, base on the theory of agent that arose fromaltruism, thesis take 135 family business in 2005 as the sample, establishing linearregression and analyzing the relativity and regression between corporate insidegovernance structures and firm performance, we not only try to study the correlationbetween the Tobin'Q and the percent of familial shareholders, the percent of familialgovernor, family control mode and the reward of senior managers, but also we analyzethe cooperating with variable. Empirical results shows that positive correlation existsbetween the percent of familial shareholders and governance efficiency, negativecorrelation exists between the efficiency and family part-time as board chairman andgeneral manager, family direct controlling the firm make good effect on theefficiency, all in all, the inside governance have good effect on the firm performance, butexist some disadvantages. In the end, a few suggestions in favor of family insidegovernance is bring forward.