The Research About The Influence Of The Relationship Bewteen Ownership And Management On Performance In Private Manufacturing Enterprises

Western academics havea more in-depth theoretical and empirical research on agencytheory. But in China, to what extent does this theory affect business management?Theevelopment of private enterprises has accumulated enough data so thatwe can study relationshipofprincipal-agent and agency costs within a certain range in empirical research.Based on thisbackground and principal-agent theory, the basic research methods of the paper is empiricalresearch, normative analysisandcomparasion.Firstly,the paper introducesthe related research ofprincipal-agent theory and theknowledge of ownership and management. In addition, thedomestic and international standards and the development of performance evaluation system ofenterprise performance are elaborated. Based on this, principles and standards of performanceevaluation of this paper is maked.And then, performance evaluation criteria is developed in thispaper. Secondly, the paper screened200companies of consolidation of ownership andmanagement and94companies of the separation of the management and ownership from GTACSMAR database. According to the operating results of sample enterprises from2008to2013,average revenue growth, average sales margin, asset turnover and average Tobin’s Q arecalculated. Corporate profitability, asset operational efficiency, business value and growthempirical of samples are analysised by SPSS Statistics. Based on empirical findings and fromthe perspective of agency theory,the paper put forward some new points about whether theperformance ofcompanies that their ownership and management is consolidated is superior toenterprises of the separation of ownership and management.In this paper, the following conclusions are drawn:①The average growth of revenue targetof the companies that ownership and management consolidated is30.94%higher than thecompanies that ownership and management is separated. There are significant differencesbetween them.②The companies that ownership and management consolidated and thecompanies that ownership and management separated don’t have significant differences in theaverage sales margin. But the former is slightly higher than the latter in the index.③Thecompanies that ownership and management consolidated and the companies that ownership andmanagement separated don’t have significant differences in the average turnover. But the formerisslightly higher than the latter in the index.④The companies that ownership and managementconsolidated and the companies that ownership and management separated don’t havesignificant differences in the average Tobin Q. But the former isslightly higher than the latter inthe index. Therefore, from the results of the research, the overall performance of the companies thatownership and management consolidated is superior to the companies that ownership andmanagement separated.Thus itexplainsthat the principal-agent theoryalso has applicability inChina.The paper also analyzed the study results, and the future research were discussed...