The Effect Of Governance Structure On Economic Performance Of Rural Collective Economic Organization

Central committee's document No. 1 for 2016 “Development of a number of opinions on the implementation of new ideas to accelerate agricultural modernization, to achieve a comprehensive well-off goal" is the central document since 2004, 13 consecutive times emphasized "three rural issues". Development of rural society of the importance of the comprehensive development of China is self-evident. In order to meet the new competition in the market for the new challenges of rural collective economic organization's governance, China's rural society has experienced three main stages of cooperatives, people's commune, economic cooperatives, pluralistic coexistence stage until a variety of new rural cooperative economic organization. In the academic circles, considering the village collective economic organizations as an important part of the rural economy and society, a lot of researches have been carried out on the reform of the property right system of the rural collective economic organizations, the legal status and the legal system, and the definition of the members' rights. The research on how to improve the governance structure of economic organization, improve the economic efficiency of rural collective economic organizations, promoting the coordinated development of urban and rural is still less. In order to understand the impact between the governance structure of the organization and economic performance, this paper has used a variety of methods such as literature methods, questionnaire survey and statistics. Combined with the status quo of the rural collective economic organizations, the paper puts forward feasible policy recommendations.Firstly, this paper introduces the development process and basic concepts of rural collective economic organization, combined with modern sophisticated corporate governance theories, analyzed the governance structure of rural collective economic organizations. Through the learning of Simon on the theory decision theory, principal-agent theory and higher order echelon theory, summarized some factors affecting the governance structure, including the degree of centralization, management heterogeneity and oversight mechanisms arrangements. Through literature study, we analyzed the governance structure factors that affect economic performance, and make some relevant assumptionsThrough literature review, to obtain the main factors that affect the organization's economic performance, and through field research to obtain relevant data. The research object is the rural collective economic organization in Guangdong Province as the research object. After analyzing the data of 110 rural collective economic organizations in Guangdong Province, we believe that the degree of centralization of the rural collective economic organization has a negative correlation with the performance of the organization. For example, a multi position high corresponding to lower organizational economic growth rate; The demographic background of the management staff will also have an impact on organizational performance, such as higher average age and higher education level, and the growth rate of the organization's income can be promoted. Different perspectives supervision institutional arrangements on economic growth is showing different effects. Such as the organization's annual meeting and the degree of financial information disclosure is higher, means that there is a higher rate of revenue growth. However, the higher the financial independence of the person in charge is related to a lower growth rate of the organization.