Research On The Relationship Between Corporate Performance With Minority Shareholders’ Network Participation

Corporate governance is a process that is accompanied by the development of the times and organizations.In the Internet era,its characteristics of connecting all of them have led to the development of corporate governance,such as network governance and joint governance.From the perspective of the number of participants in corporate governance,the role of small and medium shareholders as the largest number in the corporate network is often overlooked.The reasons for neglecting the governance effect of Minority shareholders are mainly from two aspects of their effectiveness.On the one hand,Minority shareholders have limited information,so they cannot make correct choices,even in the interests of internal controllers.On the other hand,the cost of Minority shareholders participating in governance may exceed their income.Minority shareholders often directly adopt the behavior of "voting with their feet" to express their views on corporate decision-making,and their enthusiasm is difficult to mobilize.Enterprises are also reluctant to pay the cost to "inspire and use" less-professional minority shareholders to participate in governance.With the advancement of technology,the above two reasons have been improved to some extent in the Internet context.The Internet has reduced the cost of acquiring and using information by Minority shareholders,making it easier to use the communication network for information screening and making More "rational" voting,so we should pay attention to the governance effect of small and medium shareholders in the Internet context.Based on the above background,this paper takes China’s A-share listed companies as a research sample,discusses the relationship between the governance effect of network participation of Minority shareholders and company performance,and takes the different situations of corporate governance structure(the nature of enterprise property rights,the concentration of ownership,As an adjustment,the proportion of independent directors and senior management ability is further tested for the effectiveness of the above relationship.At the same time,the impact of property rights on the above relationship was further discussed.Through theoretical analysis and empirical test,it is found that:(1)The higher the degree of participation of Minority shareholder networks,the better the company can achieve better enterprise performance,and further discover that this effect is more obvious in state-owned holding companies;For enterprises with higher degrees,the network governance effect of Minority shareholders is more significant;(3)In enterprises with a high proportion of independent directors,the positive effect of network governance effect of Minority shareholders on company performance will be strengthened,but this adjustment relationship is in the state-owned There are differences between holding companies and non-state-owned holding companies;(4)In the analysis of managerial ability,the executive ability will strengthen the positive effect of small and medium shareholders on corporate governance,while the low loyalty of executives will also make small and medium shareholders The positive effect on corporate governance has been strengthened.The above situation explains that minority shareholders believe that enterprises with reasonable governance structure will not infringe on their interests,but prefer to manage enterprises with poor governance structure,and also reflect the substitution effect of minority shareholders’governance effects.Based on the above empirical analysis,this paper provides new empirical evidence for the governance role of "two-way governance" of minority shareholders,and also provides theoretical support for the participation of small shareholders in the corporate governance field in China,and boldly envisages relevant policies in the future.Realize the integration and development of "Internet+"and corporate governance.