Comparative Study On The Relationship Between Ownership Structure And Company Growth Of Chinese Manufacturing Listed Companies Before And After The Non-tradable Shares Reform

The company’s growth, reflects the sustainable development ability of the company.Research on corporate growth, is beneficial to the shareholders, managers and all stakeholdersto understand the development direction of the company, in the position in the market, thefuture development prospects. So, what factors determines the enterprise’s survival anddevelopment? How do these factors play a role? This paper thinks that we should to explorethe reason of the company growth from the internal governance structure, while thecharacteristics of ownership structure plays an important role in in corporate governance.Ownership structure is the foundation of corporate governance mechanism, manyscholars study equity structure and classify the ownership structure including ownershipdispersion and equity properties (such as Zhang Hongjun2005),he classify the discrete degreeof equity into ownership concentration and equity balance degree;classify the nature of equityinto state-owned shares, legal person shares and institutional investors according to thecharacteristics of ownership the holder. On the equity structure of the thesis, the previousscholars mostly focus on the influence of ownership structure on corporate performance,while the research on this topic of domestic and foreign scholars from different point of view,the selected samples are all over the world, but has not reached the same conclusion. In China,because of its special economic development model, a part of the stock reform in ownershipdoes not participate in market sale, be divided into non tradable shares, the share tradingreform, a considerable part of the non tradable shares into full state, so the ownershipstructure of China’s highly centralized due to the split share structure reform and changeownership concentration, the influence and therefore enhance supervision consciousness ofbig shareholders or will reduce the tunneling behavior of large shareholders? Thecorresponding equity balance degree, whether will be affected by the split share structurereform, established the effective restriction mechanism so as to reduce the tunneling of majorshareholders, or lead to big shareholder collusion and influences the development of thecompany. After the share reform more non tradable shares change into the two circulationmarket share, but this change would have positive effect on enterprise growth expectations?In order to solve these problems, based on the growth theory, the principal-agent theory, property rights theory as the theoretical basis, the ownership structure can be analysis fromownership concentration,ownership balance and equity circulation,and from three aspects,westudy after the split share structure reform which is a historic event has affected the growth ofour company, to provide suggestions for manufacturing listing Corporation optimize equitystructure, and promote the sustainable development of China’s manufacturing industry listingCorporation.The empirical analysis shows that, after the reform of split share,the structureconcentration decreased, but which brought the negative effects for company; equity balancedegree increased, which also brough negative effect for the company’s growth; equitycirculation has increased greatly after the reform, and produce the desired effect, namely theliquid and enhance promote the company’s growth.