The Study On The Relationship Between Top Management Team Characteristics And International Companies' Performance

Along with the economic globalization especially the process of manufacturing market's global integration develops continuously,Chinese manufacturing companies are forced to adopt internationalization strategy,which make the companies entering the worldwide competition age..Actually speaking,internationalization is the grim reality,rather than a free choice for China,which is a super developing country.So how to improve international companies' performance is significant and meaningful.For another hand,considering the fact that both the decision-makings and executions of top management team will affect the survival of the company,this thesis use the characteristics of top management team as a innovative angle to explore the way to improve international companies' performance,based on the Carpenter, Geletkanycz,& Sanders' Stylized Model of the Upper Echelons Perspective.To resolve the lag problem,this thesis use a sample of Chinese manufacturing listed companies during the 2004-2007 periods to explore the relationship between TMT(top management team) characteristics and international companies' performance.What's more,the variables are divided into three groups:non-heterogeneity demographic characteristics, heterogeneity demographic characteristics and agency theory characteristics.The result shows that average age,product background proportion,international background proportion and average pay of TMT are positively associated with international companies' performance,while top management team heterogeneity is negatively associated with international companies' performance in the whole,especially the function heterogeneity.And the relationships between remaining variables and international companies' performance are different depended on the index chosen to measure performance.And then the result is explained in detail,with considering the specific cultural background of China,as well as internal system and status quo of companies.At last,based on the result and explanation,give some suggestions on how to construct TMT and how to improve the operation of TMT.