Proceedings of the 2017 International Conference on Management Science and Management Innovation (MSMI 2017)

The Character of Board of Director, Supervisors and Agency Cost of Charity Foundations in China

Authors
Xiaoxia Xie, Yue Ming, Yufei Tang
Corresponding Author
Xiaoxia Xie
Available Online June 2017.
DOI
https://doi.org/10.2991/msmi-17.2017.49How to use a DOI?
Keywords
Charity foundations; Board of director; Board of supervisor; Agency cost
Abstract
Charity foundation internal governance as a hot topic in both theory and practice are concerned. However little literature has discussed the relationship between the character of Board of Director, Supervisors and agency costs. This research studies 213 charity foundations during the period from 2011 to 2012, and tries to investigate and answer the following two questions: firstly, the impact of charity foundations' Board of director and Supervisors on agency costs. Secondly, whether charity foundations' internal governance can effectively reduce agency costs. Our conclusions include: Firstly, the bigger size of the foundation Board of Director , the more beneficial to reduce agency costs .Secondly, it's not conducive to reducing agency costs when the board of director often holds meetings and when chairman and general secretary share the dual identity. Thirdly, charity foundations' Board of Supervisors had no significant effect on reducing agency costs. The current empirical discovery helps to explain the relationship between charity foundations' board of director and board of supervisor and agency cost. The conclusions provide empirical research evidence to support some policies of supervising charity foundations' internal governance to be built.
Open Access
This is an open access article distributed under the CC BY-NC license.

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Cite this article

TY  - CONF
AU  - Xiaoxia Xie
AU  - Yue Ming
AU  - Yufei Tang
PY  - 2017/06
DA  - 2017/06
TI  - The Character of Board of Director, Supervisors and Agency Cost of Charity Foundations in China
BT  - Proceedings of the 2017 International Conference on Management Science and Management Innovation (MSMI 2017)
PB  - Atlantis Press
SP  - 227
EP  - 230
SN  - 2352-5428
UR  - https://doi.org/10.2991/msmi-17.2017.49
DO  - https://doi.org/10.2991/msmi-17.2017.49
ID  - Xie2017/06
ER  -