An Empirical Study on the Relationship between Ownership Structure and Management Performance of Chinese Private Listed Companies

Improper ownership structure is always considered to be the main factor leading to lower management performance of private listed companies both in theory and in practice. Thus, study on their relationship attracts the attention of lots of researchers. In this document, the authors conduct regression analysis based on the annual reports of sampled Chinese private listed companies from 2005 to 2007, and they take the concentration of ownership as the key explicatory variable and the index related to management performance as variables to be explicated. The conclusion drawn is that there is a certain correlation between ownership structure and management performance for Chinese private listed companies, but it is not significant. Finally, several proposals are put forward for improving the ownership structure and the management performance.