This study is to examine board characteristics, industrial clustering and analyze their influence on company's performance. Research results indicated, ratio of shares held by directors, ratio of seats of independent directors, industrial clustering in Eastern and Southern China all have significantly positive influence on company's performance. That being said, it is understandable that the higher the ratio of shares held by directors, the stronger the incentive to monitor the management thus enhancing company's performance. As for the more independent directors remain in an objective position by occupying more seats, the better they are at maximizing supervisory function thus enhancing company's performance. When it comes to industrial clustering, it leads to economics of scale, knowledge and technology spillover, these findings could be used as reference for companies looking to invest in China.