The Positive Research On Industry Difference Of Independent Board Institution And Corporate Performance

In 2001 the CSRC issued the Guidelines on Setting up Independent Board Institution in the Listed Companies,which required the companies must have at least one third independent directors in their board before 30th July 2003。At present there is no definite conclusion on the relationship between independent board institution and corporate performance,and the author is also skeptical of this relation。To find the independent board institution promoting effect on corporate performance,That is just the reason the author writes this paper。In the article the explanatory variable is the proportions of independent directors according to the definition of the guidelines,and we selected the two accounting indexes,ROE and SALE/ASSET,as firm performance variables,what more seven variables that affect firm performance are controlled,they are the board size,the company growth,the stock structure,the firm size,leverage,number of people whose stock-holding ratio is above 5% and a dummy variable。In the descriptive statistics,the author compared the differences and changes of every variable in ordinate and crosswise direction and provided the possible explanations,In the positive results, the author listed related coefficient of control variables,but we only paid great attention to the relationship between independent directors and firm performance。On account of the descriptive statistics and positive results comprehensively,the last conclusion is that there are the positive relationship between independent directors and firm performance, and the relationship is effected by different industries。The last part of this article proposed some suggestions from the view of the government。...