| The introduction of the system of Independent Directors is an important measure of improving the governance of Chinese listed companies. However, due to the different legal tradition; China will inevitably encounter a lot of collisions and conflicts during the process of the introduction of Independent Directors system. Therefore, it is necessary to integrate the Independent Directors system. Through the research methods of comparison, history and application of theory in practice and absorption of achievement of some empirical researches, starting from basic issues of Independent Directors system and mainly from the point of view in respect of the mechanism of the supervision and balance of power inside the board of directors, this paper has discussed several micro legislative technical issues on how to better our incentives of Independent Directors system so as to improve our corporate governance and promote the healthy development of our capital market.The Independent Director's system is regarded as a kind of measure of company governance structure reform, a subject that is worth studying , what's more its independence characteristic , must make it encourage being different from the encouragement of the agent (manager layer ) in a normal sense . So under the environment of our country's current regulations, how make one scheme encourage the independent director effectively. So as to the completion of the structure of company governance to the listed company of our country.The framework of this paper is composed of four segments.The first segment is introducing independent director's definition, function and the development of independent director system on abroad.The second segment is analyzing the practice and the theoretical model of independent director's incentive mechanism in west countries. also giving the paradox of the model in the practice. |
