This paper studies incentive effect and entrenchment effect of the largest shareholder. Author investigates 763 listed companies in SHSE, explores the statistical relationship between the largest shareholding and corp...This paper studies incentive effect and entrenchment effect of the largest shareholder. Author investigates 763 listed companies in SHSE, explores the statistical relationship between the largest shareholding and corporate performance. Author observes that the largest shareholder has the incentive effect and entrenchment effect on corporate valuation. Empirical relationship between the largest shareholding and corporate valuation shows that the firm value decreases with the equity ownership of the largest shareholders, consistent with a negative entrenchment effect, when the largest equity ownership is below 40.28% of the whole share. Then firm value rises when the proportion of the largest shareholder＇s rights was increased to 69.29%, being consistent with a positive incentive effect. But with the increase of the share of the largest shareholding, firm value falls again.展开更多
In early China, ordinary people had a ＂right＂ to demand for justice and they often exerted that ＂right＂. Due to the nature of our sources, which are preoccupied with the concerns of the governing elite, the ordina...In early China, ordinary people had a ＂right＂ to demand for justice and they often exerted that ＂right＂. Due to the nature of our sources, which are preoccupied with the concerns of the governing elite, the ordinary people＇s voices are often lost, but even the scanty evidence that we have suggests that ordinary people did not always passively wait for justice to be delivered to them by the authorities. On one hand, the elites recognized that all human being had the sense of justice and its expression was a natural tendency, on the other hand, ordinary people and elites actively demanded justice at least in three ways： they cried out to redress the injustices they had encountered; they honored the impartial judges for their honesty and fairness; and they protested against injustices through collective actions.展开更多
文摘This paper studies incentive effect and entrenchment effect of the largest shareholder. Author investigates 763 listed companies in SHSE, explores the statistical relationship between the largest shareholding and corporate performance. Author observes that the largest shareholder has the incentive effect and entrenchment effect on corporate valuation. Empirical relationship between the largest shareholding and corporate valuation shows that the firm value decreases with the equity ownership of the largest shareholders, consistent with a negative entrenchment effect, when the largest equity ownership is below 40.28% of the whole share. Then firm value rises when the proportion of the largest shareholder＇s rights was increased to 69.29%, being consistent with a positive incentive effect. But with the increase of the share of the largest shareholding, firm value falls again.
文摘In early China, ordinary people had a ＂right＂ to demand for justice and they often exerted that ＂right＂. Due to the nature of our sources, which are preoccupied with the concerns of the governing elite, the ordinary people＇s voices are often lost, but even the scanty evidence that we have suggests that ordinary people did not always passively wait for justice to be delivered to them by the authorities. On one hand, the elites recognized that all human being had the sense of justice and its expression was a natural tendency, on the other hand, ordinary people and elites actively demanded justice at least in three ways： they cried out to redress the injustices they had encountered; they honored the impartial judges for their honesty and fairness; and they protested against injustices through collective actions.
