A Research On The Impact Of Equity Structure Of China Vanke Co.,Ltd On Its Business Decision Risk

Equity refers to the owner of the enterprise have the rights and interests of enterprises,to obtain funds through equity financing means to bring capital for the development of enterprises and investment.The ownership structure is the foundation of corporate governance,the success of the business depends on the enterprise ownership structure which is reasonable or not,the unreasonable ownership structure will inevitably bring about the risk of operating decisions for enterprises.There are many factors that influence the equity structure,equity structure determines the corporate governance structure and efficiency.The degree of ownership concentration has an influence on the degree of the internal and external stakeholders in the corporate governance structure,and internal and external stakeholders include shareholders,shareholders and creditors,shareholders and agents and so on.Highly dispersed equity in the company,any individual shareholders have no right to restrict manager's behavior,which leads to higher agency cost;on the contrary,the ownership concentration in single shareholders,large shareholders tend to damage the interests of small shareholders,has become the main contradiction of corporate governance.Different nature of the shareholders lead to different corporate governance behavior,thereby affecting the risk of business decision-making.In this paper,the ownership structure of China Vanke Group is too scattered,leading to large shareholders in corporate governance without the right to say,can not resist the door of the barbarians,so as to bring certain risks to its business.This article focuses on the analysis of the impact of ownership structure on the business decision risk,and the selection of Vanke Group as a case study,analyzes the current situation of ownership structure and business decision risk and existing problems of operation.In order to prevent the business decision risk,as far as possible to reduce the loss of the enterprise,in a certain degree of risk,and strive to maximize business efficiency,and achieve operating profit basis,which decreases the risk as far as possible,in the last part of the article,put forward the research conclusion and the way and strategy to deal with the problem in the last part.Perfecting the ownership structure of listed companies,should promote moderately dispersed ownership structure,the ownership structure of checks and balances formation pattern,and as far as possible to improve corporate board system,enhance the independence of the board of directors of the company for each other.