| Since the end of1990s, LLS firstly proposed the concept of ultimate controlling shareholders. In the world, they chose listing corporations27developed countries with mature stock market as the object to study their ownership structure by tracing the chain of ownership structure. They found that most corporations had concentrated ownership and most of the ultimate controllers built pyramid shareholding structure. From then on, the domestic and foreign scholars began to study the relationship between ownership structure and corporate performance from the perspective of "ultimate control right".In recent years, SMEs have become an integral part of the national economy. It is involved in the mechanism of competition in the market and become the lubricant coordination between SMEs and large enterprises. Its wide distribution and wide-ranging effectivly increase the overall national economy level. However, the current shareholding structure of SMEs shows low-stake-holding of managers, the lack of appropriate checks and balances equity of large shareholders, high ownership concentration and other phenomena. Whether these are caused by the governance efficiency of SMEs and low operating is worth exploring.Therefore, this article make the SMEs as samples,focuses on the relationship of ultimate control rate of the SMEs, cash flow rights, the separation of ownership and ultimate control rate and corporate performance, so as to provide some practical significance for improving performance of SMEs. Besides researching the impact of the separation of ownership and ultimate control rate to the performance of SMEs,This article make the ultimate controller divided into two parts:one part is controlled by state,the other is controlled by person,to see if the nature of the controller has impact to the performance of SMEs.This article also analysis the impact of cash flow right rate to the separation occupy effect,and make the endogenous test for the empirical result.This paper consists of six parts. The first one tells the research background, the research significance, then briefly discusses the text frame, the innovation and research methods; The second part is literature review, the review of Pyramid ownership structure and the relationship between that with corporate performance provides some ideas for writing this paper; The third one is theoretical analysis, it provides definitions of relevant concepts, sorting out the theoretical basis of the relationship between the separation of two rights and corporate performance, then put forward the motivation and approach of the effections from the separation of two rights to corporate performance. The fourth one is empirical design, first, put forward research hypothesis and research model, then describes the sample and variable selection and make a preliminary empirical analysis, which is descriptive statistical analysis and correlation test.; The fifth part is the empirical inspection and analysis, this part mainly introduces the empirical test, the lag test and the robustness test; The sixth part is the research conclusions, policy suggestions and future prospects.Based on the above background, This article integrate the domestic and foreign scholars studies,and uses LLS’s research method for reference, choose the SMEs which could meet the requirements of pyramid shareholding structure as object of study,selects the data about ownership structure and firm performance of SME in2009-2013as research samples. This paper also divided the samples as two kinds:one is controlled by state, the other is controlled by private person. The results show that (1) There is a strong evidence that the deviation of cash-flow rights and control rights has negative effect on firms’performance.(2) For firms which are controlled by private person, the deviation of two rights has more negative effects on performance than that of firms which are controlled by state.(3)The negative effect of the deviation of two kinds of rights on firms’ performance is bound by cash-flow rights. |
