Empirical Research On The Fluence Of The Corporate Governance Structure Of Listed Companies To The Internal Control In China

The corporate governance and internal control has become the core of the modern corporate systems,which characterized as "Clearly established ownership, well-defined power and responsibility,separation of enterprise from administration, and scientific management".It's necessary for the companies to have good corporate governance and internal control to enhance competitiveness and business performance. It's also the foundation for protecting the owners and other interested person,forming the orderly and effective modern market system.The two mentioned above are different from each other,but meanwhile closely related to each other.Corporate governance structure is the premise and foundation for ensuring the internal control system working well.Therefore,the writer proposes the main here:whether the internal control working out depends on the rationality and the effective of corporate governance structure.The paper is divided into five parts.Firstly,the writer reviews studies in corporate governance structure and internal control within and outside China. Secondly,the concepts and the basic theories on corporate governance structure and internal control have been introduced,and the relationship between the two will be stated in this part.Thirdly,this paper researches the corporate governance structure and internal control in China,and analysis how the corporate governance structure influences the efficiency of internal control.Fourthly,this paper makes an empirical study on influence to the efficiency of intemal control by corporate structure. Corporate structure is characterized by nine attributes,which are the biggest stockholder's control,the actual holder,the attendance rate of the year-end general meeting of shareholders,the size of the boar of directors,the size of supervisory board, the frequency of the annual number of meetings of board of directors and supervisory board,the chairmen holds the position of senior manager,the audit committee and the provision rate of fixed asset.The study is based on a sample all the listed companies from 2005 to 2007.Then,a linear regression and two logistic regression equations are established to test the efficiency of internal control.Finally,the paper provides some advice on improve Chinese listed companies' internal control.