ABSTRACT
The more independent directors with Master or Doctor degree as they are, the better the performance of listed companies is.
The different culture backgrounds influence the decision behavior of directors, especially to the wider difference between eastern and western culture. Some independent directors come from foreign countries and have western culture background. Their decision behavior is different from that of domestic directors. The versatile decision method and different sources of information contribute to the group decision of the board. Most of the foreign outside directors have experience of working in several listed companies abroad as directors or top managers. Obviously, they can bring the advanced idea of corporate governance to the domestic companies. So we have the second assumption:
The more independent directors from abroad, the better performance of listed companies is.
