An Empirical Study On The Characteristics And Performance Of The Top Management Team Of The GEM Listing Corporation

Domestic and foreign scholars have studied the relationship between executive team characteristics and corporate performance for a long-term, but the conclusions are still not consistent. Being on board in October 2009, China's GEM now is in a rapid development and improvement period. However, research of domestic and foreign scholars on the GEM listed companies is not much. Based on this, this paper discussed the influence of the characteristics of the executive team of the listing Corporation on the corporate performance. This paper chose the Shenzhen Stock Exchange GEM listed companies from 2014 to 2015 as the initial sample, the top management team characteristics of division for homogeneity and heterogeneity, incentive characteristics and governance characteristics of top management team characteristics on firm performance influence. The main conclusions of this paper are as follows:(1) Between the average educated executive team and corporate performance showed a significant positive correlation. Upper echelons theory suggests that highly educated members usually provided jobs and higher salaries, but this treatment is an important source of their authority and responsibility. Education superior team members often deal with the amount of information captured from outside the greater, faster to respond to new market changes, more conducive to business to survive in a rapidly changing market environment.(2) There is a positive correlation between the proportions of Shareholding ratio of the top management team and the corporate performance. Equity incentive system in China's GEM Listing Corporation now is playing its due role. To give managers a certain proportion of the shares, So that they can achieve earnings from the rise in business conditions. This method can not only encouraged executives' enthusiasm, but also solve the principal-agent problem between owners and executives, which are conducive to the company's healthy development.(3) Between executive pay and corporate performance team showed a significant positive correlation. For a long time Salary incentives are an important incentive for companies to deal with the agency problem. Pay System to improve the manager's enthusiasm and sense of responsibility has a role. The average salary of GEM listed company senior management is generally low, and few gains in recent years. Therefore, enterprises should improve the well-paid system, improve the wage level of senior managers, so as to promote growth and achieve better performance.(4) There is no obvious correlation between TMT heterogeneity characteristic and firm performance, to a large extent, it is because the manager market is not perfect, private high-tech enterprises listed on the gem of the Chinese companies accounted for the vast majority of proportion. The management of the company are generally comes from Internal company, company's senior management team members have many similarity, the homogeneity feature is more prominent, and heterogeneity is not obvious.(5) There is no obvious correlation between the governance characteristics of top management team and enterprise performance. The proportion of independent directors in the executive team, to a certain extent, affected the performance of China's GEM Listing Corporation, but there is no obvious correlation between the two. This also shows that since the introduction of the independent director system has played a positive role in promoting China's business operations, but lack of market mechanism in our country which can match with the system support system.