A Study On Governance Structure Of China's Listed Companies

Corporate governance is the most important organizational framework of modern corporate system for managing and controlling corporations. Corporate practice in the world has proven that effective corporate governance is an indispensable and strong guarantee for modern enterprises to maintain long term steady development, obtain good performance and maintain effectively interests of shareholders and managers.One of core issues in reform and development of Chinese capital market is to refine Chinese companies' corporate governance. This thesis discusses the problem of inside governance structure and external governance structure that exist among listed companies in China and put forward countermeasures for managing Chinese listed companies in order to supervise and control on one hand and encourage on the other hand and realize improving company performance.This article consists five parts:Part 1 mainly introduces research background and significance; summary studies of foreign and domestic on governance structure and study method.Part 2 focuses on the basic theory of governance structure. It introduces generation, concept, theory foundation, mechanism of corporate governance and studies on the main governance model in the world.Part 3 is a quantitative analysis of China's listed corporate governance situation basing on inside governance structure and external governance structure. The analysis of inside governance structure focuses on ownership structure, stockholders committee, the board, supervision committee and manager. The analysis of outside governance structure focuses on company control market, creditor mechanism, manager market and law.Part 4 is empirical research. The thesis selects 94 listed companies in Shenzhen stock market to be the sample, uses 2006 years' data and adopts diverse linear regression methods. It researches the influence upon the corporation performance of the first 5 greatest shareholders' share ratio, state-owned share, circulating share, managers' share, scale of the board, proportion of independent directors, the condition of whether the chairman of board acts as general manager respectively. Part 5 puts forward various measures to improve China's listed companies' corporate governance structures, including restructuring equity structure, perfecting relative institutions in company such as stockholders committee, the board, supervising committee and perfecting incentive mechanism, enhancing the functions of control market and manage market.