The Influence Of Corporate Governance Structure On Performance

Corporate governance structure is the distribution of the interests of company owners, the board of directors, management coordination specification of a kind of organizational structure. Simply put, is how reasonable division of internal power. Good corporate governance structure, can solve the problem of company profit distribution, enhance the competitiveness of enterprises, thus bring the company more performance.Corporate performance refers to the company’s operating efficiency. In order to reflect its operating effect, often used in one or a set of financial index to reflect the business performance and efficiency. To the company business performance measure of the quality, mainly by the operator to enterprise management, growth, development contribution to reflect, mainly displays in profitability, asset utilization level, solvency and development potential, etc.Based on the perspective of corporate governance structure to compare the performance of family business and the family business experience, has become an important field of academic research. Empirical study shows that, at different times in many different countries, familial listed companies and non familial with completely different corporate governance structure of listed companies, which will ultimately reflect on the different levels of corporate performance. Anderson and Reeb (2003), the study found that the family business corporate performance is better than that of the family business, but Hoiderness and Sheehan (1988) the results of the study found no correlation between the corporate governance structure and corporate performance. The findings of conflict and ambiguity of the empirical result O’Boyle, Pollack, and Rutherford (2012) developed a meta-analysis (meta-analysis), they suggest that to participate in and form a perfect family measuring way of the multidimensional construct. So, the family business is better or worse performance is an empirical question, depends on many aspects.This paper were selected from2007to2011in our country, the Shanghai stock exchange and shenzhen stock exchange149a-share listed companies as samples, involving industry: information technology, chemical raw materials and chemical products manufacturing, wholesale and retail trade. Will observations according to boubaker.s, zhu wen (2003) of the definition of the family enterprise can be divided into family enterprises with the family, as measured by tobin Q value of the company’s performance level, to the first big shareholder shareholding, the proportion of independent directors, the board scale for measuring the parameters of the corporate governance structure.Generalization and summarization in home and abroad about the impact of corporate governance structure on performance, on the basis of relevant theories and empirical studies, this paper put forward and verified the eight assumptions, on the one hand, shows that in our country, information technology, chemical raw materials and chemical products manufacturing, wholesale and retail trade, and in the textile, the first big shareholder’s stake in family firms, scale of independent directors have positive effect on corporate performance, the conclusion and Anderson and Reeb (2003) phase research conclusions are consistent, that equity concentration higher family firms with higher performance compared with the family business.Shows in our country, on the other hand, the characteristics of the different industries for family enterprises in the aspect of the relationship between corporate governance and performance also has difference influence, in line with the Yu Dongzhi (2004) the results of the study, think in the future when we study the corporate governance structure influence on the performance, to comprehensively consider the nature of the enterprise and the characteristics of enterprises of different industries.Finally, the empirical results of future research is proposed in this paper to solve the question any further. First of all, in the future study on the definition of family enterprises for further development, in order to conclude on the applicability of the family enterprise is stronger; Second, we want to consider the other dimensions of family firms in the study, this will lead to new results, we can start to develop new proposition to help us more comprehensive understanding of the advantages and disadvantages of family business; Finally, for the choice of variables can be more widely, even consider other economic indicators, the performance of different measure under the analysis of the conclusions may not be consistent, therefore, in the future study, can introduce more precise or multidimensional measure the performance of the company.