Research On The Effect Of Performance Compensation Agreement On Coepoeate Governance

Since 2013,China's capital market has witnessed a wave of m&a boom.Meanwhile,performance commitment has been applied more frequently in this m&a boom,especially in emerging industries.Performance commitment plays an important role in the smooth completion of merger and reorganization.However,with the expiration of performance commitment of listed companies,some so-called sky-high mergers and acquisitions with high commitment,high valuation and high premium gradually lose their glamorous appearance.There has been a sharp increase in the incidence of failure to meet performance commitments,arbitrary changes in compensation schemes,and refusal to fulfill commitments.With the increasing number of m&a,people begin to rethink how to use performance compensation agreements properly.Based on the present situation of our capital market,this article from the perspective of corporate governance,the selection can reflect performance promised not to mark the case of this phenomenon,namely in order to protect thousands of backdoor reached the shares listed as an example,the research on m&a performance in the promise of the impetus and the design principle,and its commitment to the cannot reach resultsof causal problems were analyzed,and then from the ownership structure,corporate governance structure and internal control in this paper,the performance compensation agreement against the impact of corporate governance,based on the analysis of performance compensation agreement about corporate governance effect mechanism,Moreover,the effect of signing the performance compensation agreement is verified from the financial indicators of solvency,operational capacity,profitability and development capacity.The conclusion is as follows :(1)the performance compensation agreement signed by ST baoqianli has the effect of corporate governance.The signing of the performance compensation agreement destroys the governance structure and internal control mechanism,making the actual controller above the internal control and causing the integrity problem of the actual controller.(2)the effect of performance compensation agreement on corporate governance efficiency and business performance is mainly realized through the three transmission mechanisms of equity structure effect,incentive effect and supervision effect.(3)the performance compensation agreement signed by ST baoqianli has a negative effect on business performance.In view of the effect of corporate governance between the agreement and the merger and acquisition enterprises,combined with the status quo of the application of performance commitment in the merger and reorganization of China's capital market,this paper summarizes theenlightenment,and puts forward the corresponding countermeasures from the three aspects of the signing of performance compensation agreement before,during and after,for the reference of relevant enterprises.