Research On Corporate Governance Issues And Countermeasures Of Family Business M

Since the reform and opening up,the Communist Party of China and the state have continuously improved the socialist market economy system and promoted the rapid development of China’s economy,injecting vigor and vitality into private enterprises.During these decades of rapid economic development,family enterprises have completed the accumulation of original capital,formed a complete organizational structure,experienced inter-generational family succession,and have basically passed the initial growth period.They have played an irreplaceable role in promoting development,fostering innovation,increasing employment and improving people’s livelihood,and have made great contributions to China’s economic development.The corporate governance model is a key factor for the development and growth of an enterprise.A good governance model can achieve twice the efficiency with half the effort,thus helping the enterprise to develop better and faster.However,as the scale of family enterprises continues to expand and the division of labor gradually refines,family enterprises enter a mature stage of development.Due to the limitation of the original family resources,the governance model of family enterprises can no longer meet the needs of enterprise development,and the enterprise development gradually falls into a bottleneck.Therefore,how to solve the defects and deficiencies in the governance of family enterprises,so that the governance model becomes a booster for the development of family enterprises,is an issue worth studying for family enterprises in China.Based on the current status of domestic and foreign scholars’ research on the governance of family enterprises,this paper uses the literature analysis method to explore the current situation and problems of corporate governance of family enterprise M,and analyzes the causes of the problems.Then,we use the case study method and comparative analysis method to summarize and analyze the successful practices in the governance process of typical family enterprises at home and abroad,and apply their successful experiences to the governance methods of family enterprise M.Finally,we propose countermeasures for the optimization of the governance of family-owned M corporations in order to provide reference for the optimization of the governance model of family-owned enterprises in China.This paper follows the progressive idea of "raising the problem-analyzing the problem-solving the problem".Based on the principal-agent theory,corporate governance theory,modern property rights theory and incentive theory,this paper firstly discusses the importance of family enterprises to economic development in the world.Combining the outstanding contributions made by family enterprises since the reform and opening up,the paper outlines the development history of family enterprises in China,and then analyzes the necessity and urgency of this paper to study the corporate governance of family enterprises.Secondly,this paper analyzes the current situation of the governance of family enterprise M in terms of financial status,shareholding structure and shareholder relationship,board of directors setting,executive incentive and restraint mechanism and corporate supervision system through data collection and other methods,and analyzes the problems of M in terms of shareholding structure,decision-making mode,talent incentive mechanism and supervisory board supervision efficiency and their causes.Subsequently,this paper summarizes the main practices in corporate governance of typical foreign family enterprises Nike and Sketchers and domestic family enterprises New Hope Group and Midea Group through comparative analysis,and summarizes the experience for M Company.Finally,on the basis of the development reality of family enterprise M,we combine the successful experiences on corporate governance of family enterprises at home and abroad,and optimize the governance tools of family enterprise M in four aspects,such as optimizing the shareholding structure,improving the effectiveness of the board of directors’ performance,strengthening the construction of the internal supervision system,and improving the incentive and restraint mechanism of the company’s executives,in order to help family enterprise M optimize its governance model on the basis of The purpose is to help family enterprise M optimize its governance model and better improve its business performance and development capability.