Abstract:The enterprise is the basic organization and micro-subject to improve the quality of economic growth, and the board of directors is the enterprise decision-making and control center. Based on the sample of Chinese A-share listed company data from 2010 to 2019, we examine the relationship between board faultlines and high-quality development of enterprises, Our findings suggest that: Board faultlines can inhibit the high-quality development of the enterprise; In addition, the analysis of the mechanism of action shows that board faultlines damage the board’s impact on the high-quality development of the enterprise by weakening the effectiveness of the board in implementing the strategic decisions and regulations of the enterprise and by weakening the effectiveness of supervision of management; Differentiating the nature of property rights and the informal hierarchy of the board of directors, the analysis found that under state-owned enterprises and lower informal hierarchy of board, board faultlines has a more obvious inhibitory effect on the high-quality development of enterprises. This article recommends that companies optimize the staffing of the board of directors, give full play to group cohesion, and promote high-quality development of enterprises.