The Impact of Corporate Governance on Financial Performance in Aggressive Strategies - A Case Study of 3C Industry of Chinese Listed Companies

This paper selects the computer, communication, and other electronic equipment industry for the study from 2019 to 2021 to explore the impact of corporate governance performance on financial performance in the current period versus the next period under aggressive strategies. They are summarized as five research findings. The first is, good corporate governance performance has a positive and significant impact on the financial performance of both the current and the future. Secondly, the greater the growth of company revenue has a positive and significant impact on the financial performance of the current period, and the more stable the organizational structure of the company has a negative and significant impact on the financial performance of the current period. The joint effect of increasing the number of employees and better corporate governance will have a significant effect on the current year's financial performance; the joint effect of less capital-intensive and better corporate governance also has a positive and significant association with the current year's financial performance. The third is, the increase in the number of employees has a positive and significant effect on the current year's financial performance but does not have a significant effect on the following year's financial performance, however, the more the number of employees and better corporate governance. The forth is, the greater the expansion of the organization, the more it has a significant negative impact on the financial performance of both the current year and the following year, but with good corporate governance, the negative impact can be eliminated in the following year. The fifth is, the smaller the capital intensity, the less it has a significant impact on the financial performance of the current year, but if the capital intensity is small and the corporate governance is good, it has a significant impact on the financial performance of the current year. However, if the capital intensity is small and the corporate governance is good, it has a positive and significant impact on the financial performance of the current year; the smaller the capital intensity, the negative and significant impact on the financial performance of the next year; but if the corporate governance is good, it will turn the negative and significant impact into a positive and significant impact. This paper also makes recommendations based on the findings of the study.