A Study on the Relationship between Corporate Governance and Top Managers’ Compensation -The Case of the Financial Industry in Taiwan

• Main Authors: Chin-Chiu, Lee, 李錦秋
• Other Authors: 林鳳儀
• Format: Others
• Language: zh-TW
• Published: 2015
• Online Access: http://ndltd.ncl.edu.tw/handle/5ke77c

碩士 === 國立臺北科技大學 === 管理學院經營管理EMBA專班 === 103 === Financial industry is not only the main platform of capital flow, but also the blood of social and economic operation for a country; therefore, many governments set complicated regulations to financial industries. Corporate governance is the core key of survival and development to all the enterprises, and the major scope of corporate governance is inclusive of incentive connection and supervision. Incentive connection is to motivate top managers making them seek for the best benefits for the whole shareholders, for example, top managers’ compensation and stock ownership have to be connected with business performance. While the supervision can be achieved through internal and external resources, for example, the mutual cooperation between the board of directors and major stockholders, the control of stock hold, the internal control system, and the transparency of business internal information disclosure. This study uses financial data to proceed analysis, to inspect the relativity between the variables by using Pearson Correlation Coefficient Analysis, finally, to verify the results by regression analysis so as to further understand the relevance between corporate governance and top managers’ compensation. The main conclusion of this study is as followings. 1. For corporate governance in financial industry, the larger scale of board of the director, internal control is not implement, the higher ratio of stock hold, and the higher transparency of information disclosure, those imply the less possibility of high compensation for top managers. 2. The better Business performance financial organizations have, the higher possibility top managers have high compensation level. 3. Business performance has a function of adjusting corporate governance and top managers’ compensation level.