Analysis of Corporate Governance Efficiency Differences in Different Life Cycles

Abstract

In order to provide reference for quantifying and improving corporate governance efficiency, the DEA model was used to measure the input and output efficiency of a total of 776 listed companies in A-share market from 2012 to 2020. Then a comparative analysis of the governance efficiency at different corporate life stages was made from static and dynamic perspectives, and a regression analysis was conducted on factors influencing corporate governance efficiency via the Tobit model. The results are as follows: (1) A discrepancy can be found in main contribution sources of corporate governance efficiency in different stages as scale investment contributes to much of the governance efficiency of growing and declining enterprises while technical advancement features prominently in that of mature enterprises; (2) the total factor productivity of corporate governance increases progressively from the growing stage to the mature phase and then to the declining period, and the younger a company, the weaker its governance capacity; (3) the significance of factors influencing governance efficiency differs in different periods. This paper analyzes corporate governance in terms of the life cycle and deepens relevant research content.