Studies of the Relationship Between Shareholdings of Insiders and the Governance Efficiency of China Listed Companies
Luo Ming-min
Abstract
Luo Ming-min
Abstract
This paper examines the relationship between shareholdings of insiders and governance efficiency of the listed companies. Regression results of 1002 Shanghai and Shenzhen listed companies observations in 2003 show that, as an incentive mechanism, shareholdings of insiders play an active role in corporate governance. However, there are some defects in our insider shareholding system, especially in state-owned companies. Finally, we put forward some suggestions.
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This paper examines the relationship between shareholdings of insiders and governance efficiency of the listed companies. Regression results of 1002 Shanghai and Shenzhen listed companies observations in 2003 show that, as an incentive mechanism, shareholdings of insiders play an active role in corporate governance. However, there are some defects in our insider shareholding system, especially in state-owned companies. Finally, we put forward some suggestions.
Key concepts: Corporate governance, Insider, Incentive, Business, China, Accounting, Mechanism (biology), Finance