Research On The Impact Of Private Political Connection Executives Of Listed Companies

With the steady and rapid development of private economy, the national economy is also increasingly important in promoting the steady development of the nation al economy.It has not be underestimated contribution. Some have a profound understanding of the legal, political acumen higher private entrepreneurs will immediately come to the fore, was elected to the central and local levels, deputies or CPPCC members. By election deputies and CPPCC members, private entrepreneurs sense of social responsibility to the interests of all stakeholders are becoming increasingly strong. For China’s private companies, social responsibility is an important way of its accumulation of social capital, social capital is the most important political connections, while promoting the private companies to assume social responsibility conferred, in addition to taking into account the other stakeholders that motivation is more conscious of its strategic aspects of a business, those who have the political acumen of the private entrepreneurs to keenly aware of the political identity of the NPC, and actively fulfill their national policies, to assume social responsibility conferred, but also the strategic choice of enterprises. When companies are willing to assume more responsibility for social conferred fulfilling foreign will establish a good image, especially part-time two representatives of political affiliation, will be more likely to be s ure, so that it is possible to maintain or promotion of their political hierarchy, and then maintain, increase the strength of this political affiliations, thereby improving the competitive environment for enterprise development.It must be emphasized that this article is not the political connections to bribe, but has nothing to do with government intervention. In this paper, the political affiliation defined as the business aspects of economic behavior and outstanding contribution to the community to make sure that a company’s executives. Such as the actual controller, chairman and general manager is selected as the NPC deputies and CPPCC members, is considered The company has a political affiliation. I studied political reasons to build links, and then analyzes the relevant system of contemporary China, and finally, to explore the performance of the existing system of private listed companies will be what kind of impact.This paper would like to study the following two points:(l) whether to build political ties will enhance corporate performance;(2) deputies and CPPCC members to contact political class class political affiliation, compared whether the utility has a strong promotion in improving corporate results. This paper selects 2012-2014 Shanghai and Shenzhen A-share listed companies in the private study, to obtain a total of 3843 valid samples, establish the relevant model using regression analysis methods empirically. It was found that there is a positive relationship between the relevant political ties with the performance of private listed company’s senior executives to build; private enterprise class deputies and CPPCC members than political affiliation political class contact can enhance the company’s performance.This study explores the deeper political ties to influence the performance of private listed companies in this field, a private listed company is in a unique system, the distinction between the kind of political ties have different effects on the performance of private listed comp anies to provide more evidence.