Research On The Correlation Of "Internal Control" Behavior And Corporate Performance

According to the theory of the modern enterprise, as long as existing enterprise ownership and management in the separation (such separation is to adapt to modern society of mass production at the request appears) , there are bound to be "internal control" phenomenon. An internal control is the fact that managers or to grasp control of the company or Residual Claim to the company in strategic decision-making in their interests are adequately represented. Galbraith has openly declared that the modern corporate control has shifted to "technical architecture class" that managers and technical staff of the mixed classes. After World War II, a large number of modern corporations, professional managers of the gradual formation of the phenomenon of enterprise managers more control of a large number have emerged. Chandler in 1963 to the United States 200 largest non-financial companies that research, of which 169 or 84.5% were under the control of the internal people. Modern extensive studies in the literature tells us that "internal control" behavior in the world of corporate governance is unpopular "role" as the conclusion of the study tells us that it has the potential to impact the company's overall business performance. Well, "internal control" of operating performance between companies and the actual circumstances of how what kind of showing a correlation? This research paper is the analysis of the starting point.This paper attempts to analyze and follow the structure of the total combination of macro and micro analysis combining empirical research and analysis of standardized combination of the three principles, as a means of virtually Game. On corporate governance in the process of an internal control issues horizontal (International) and vertical (time), order to reveal corporate governance in the process of "internal control" of the cause, and thus further from the starting point of data Positive Test Demonstration "internal control" the performance of listed companies relevance. The article begins with the "internal control" related to the basic issues, and on this basis further made "internal control" issues and corporate performance Empirical Analysis of the theoretical preparation. Then, a comprehensive and thorough way, the principal-agent theory, control theory and internal assessment of levels of achievement on the "internal control" behavior and the relationship between corporate performance and carried out a detailed study. Finally, empirical analysis, this paper on corporate governance structure of the process of "internal control" of the corresponding policy recommendations.