The Relationship between Information Transparency of Family Listed Companies and Their Performance Based on Perspective of Corporate Governance

The paper studies on the relationship between information transparency and business performance based on the data from A-share family listed companies of Shenzhen Stock Exchange between 2007 and 2009. The result of information disclosure evaluation is chosen as the independent variable while the comprehensive performance score by principal component analysis is chosen as the dependent variable. The empirical result shows that there is a positive correlation between information transparency of family listed companies and their performance, that is enhancing the information transparency of family listed companies may improve their business performance. It means that information transparency which as one of important aspects of corporate governance plays an important role on corporate performance.