Does Governance Reform Help? The Impact of Split Share Structure Reform on Corporate Board Structure in Chinese Manufacturing Enterprises

  • Cheng Zhang University of Malaya
  • Kee Cheok Cheong University of Malaya
  • Ran Li University of Malaya
  • Rajah Rasiah University of Malaya

Abstract

This study explores the determinants of board size and independence in the Chinese manufacturing industry during the periods before and after the split share structure reform. The results show that with the implementation of the Chinese split share structure reform, corporate governance was impacted positively in terms of the greater board independence. Meanwhile,the mainstream view that non-state enterprises are better governed than state enterprises has found no support. Overall the study suggests that one board size and one type of board independence may not fit all firms under different corporate governance environments.

Author Biographies

Cheng Zhang, University of Malaya

Institute of Graduate Studies, University of Malaya

Kee Cheok Cheong, University of Malaya

Institute of China Studies, University of Malaya

Ran Li, University of Malaya

Institute of China Studies, University of Malaya

Rajah Rasiah, University of Malaya

Faculty of Economics and Administration, University of Malaya

Published
2017-06-01
How to Cite
ZHANG, Cheng et al. Does Governance Reform Help? The Impact of Split Share Structure Reform on Corporate Board Structure in Chinese Manufacturing Enterprises. Malaysian Journal of Economic Studies, [S.l.], v. 53, n. 2, p. 297-313, june 2017. ISSN 1511-4554. Available at: <https://mjes.um.edu.my/article/view/2775>. Date accessed: 20 sep. 2017.
Section
Articles