Study on Corporate Governance of Stock Market in Korea: Network Analysis with Relationship of Major Shareholders

The purpose of this paper is to measure the sustainability of corporate through using the relationship of major shareholder using complex system. As a result of case study, we can find two types of meaningful network. First type is the clustering according to connectivity among major shareholders. Second Type is the network according to corporate group. First type shows small world network and characteristics of corporate group such like business style, decision making speed and owner risk. Second type shows scale-free network and investment preference according flowing power law in stock market. Third type is the clustering according to industry sector of stock focusing on Information Technology.