| Related party transactions exist extensively in the operating activities of Chinese companies,it affects the company's performance and risk level.In China's listed companies,related transactions are ubiquitous.There are two sides for related party transactions,and the fair related transactions are conducive to saving transaction costs and optimizing the allocation of resources.which are recognized by the public.However,due to the imperfections of internal and external oversight mechanisms and the complexity and interests of related party transactions,some companies have violated the order of market transactions when they trade at non-fair prices in order to whitewash profits,transfer assets,and obtain self-interest.Considering the harmfulness of non-fair related party transactions,the research of this paper focuses on non-fair related party transactions.At present,the research on the related transactions in the literature mainly focuses on the three aspects,they are earnings management,corporate performance,and corporate governance.Some scholars have begun to study the intrinsic links that the characteristics of the independent directors and the board of directors impact on the related party transactions.The operation of the listed company cannot be separated from the behavior of all persons in the company.The operating results and operating decisions presented by the company come from the implementation of the behaviors of shareholders,directors,supervisors and senior executives.Existing researches generally believe that non-fair related party transactions are the first major shareholder's short-selling behavior,Directors and supervisors also appear in the literature of corporate governance impacting on related party transactions,in fact,the company executives also play an important role in non-fair related party transactions.According to the existing academic research conclusions,it is generally believed that the knowledge structures,values,and cognitive foundations of senior executives are reflected through the behavior of the senior management team,and the different TMT characteristics lead to different corporate decisions.Based on upper echelons theory,human capital theory,the information asymmetry theory,principal-agent theory and fraud triangle theory,this paper proposes the hypothesis of the TMT characteristics impacting on non-fair related party transactions,in ordering to discover the existence of links and find the strategy to govern the company's non-fair related partytransactions.At present,there are few researches on the TMT characteristics and non-fair related party transactions.This paper uses the homogeneity of TMT characteristic as an explanatory variable to study its impact on non-fair related party transactions,to a certain extent,this supplements the lack of TMT characteristics in the research area of non-fair related party transactions,which is one of the most important research significance of this paper.The explanatory variables of this article are non-fair related party transactions,considering that it is difficult to distinguish the fairness and non-fairness of the related transaction price,the paper draws on the research of other scholars to measure the non-fair related transaction by cross-terms of the absolute value of the discretionary accruals and the size of the related party transaction.According to the literature review and the upper echelons theory,the TMT characteristics include the average age of TMT,the average academic qualifications of TMT,the average term of TMT,the female ratio of TMT,the size of TMT,the oneness of chairman and prime minister,the shareholding ratio of TMT,and the pay gap of TMT.In terms of data collection,after a series of data screening criteria,this paper obtained a total of 1630 samples of Shenzhen Stock Market A-Shares between 2012 and 2016,and the paper used excel and stata14 software for data collection,correlation analysis,regression analysis,and robustness test.In addition,listed companies in China can be divided into state-owned listed companies and non-state listed companies.Some scholars in the study found that companies with different property rights have different corporate governance and other behaviors,and there may also be differences in the mechanism of action of the TMT characteristics.Therefore,under the premise of analyzing the whole sample,in this paper the sample is further divided into state-owned company sample groups and non-state-owned company sample groups for empirical analysis.Finally the impacts of TMT characteristics on non-fair related party transactions are found:there is a significant negative correlation between the average age of TMT and non-fair related party transactions;there is a significant negative correlation between TMT average academic qualifications and non-fair related party transactions;there is a significant negative correlation between the average term of TMT and non-fair related party transactions;between the proportion of senior executive women and non-fair related party transactions,There is a significant negative correlation;there is a significant negative correlation between executive team size and non-fair related party transactions;there is a significant positive correlation between the oneness of chairmanand prime minister and non-fair related party transactions,but the regression results are not significant in the full sample analysis and sample groups of non-state listed companies;there is a negative correlation between the proportion of shares held by the senior management team and non-fair related party transactions,and this negative correlation is most evident in the non-state-owned sample group;there is a significant positive correlation between executive pay gap and non-fair related party transactions.Finally,according to the conclusions of the empirical research,the author put forward the countermeasures and suggestions for restricting the non-fair related party transactions from the perspective of the characteristics of the senior management team. |
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