Sox And Internal Control Of The Corporation Under The Coso Framework Study

Along with the continuous development at different levels in China's market economy system, the stakeholders require a higher level of corporate governance and stricter internal control for the publicly traded corporations. On the one hand, the establishment and implementation of internal control depend on specific corporate governance system. On the other hand, effective internal control system will in reverse promote the corporate governance. Now that the Sarbanes Oxley Act of 2002 has been effected and the COSO Integrated Framework has been widely and successfully adopted in many a overseas and domestic companies, Chinese companies have learnt to borrow successful experiences and effective practices in order to improve management levels and nurture distinctive competence.In this thesis the author will first define the boundary of the target research subjects; it will then mention the significance of research subject and analyze the relationship between internal control and corporate governance. Furthermore, the thesis focuses on the conglomerate companies which are either wholly-owned or joint-venture companies as a reference of the Sarbanes Oxley Act of 2002 and COSO Integrated Framework, so as to reflect the internal control system of some specific conglomerate companies. During the analysis of the new internal control system it will be compared with the traditional management methods and models. Finally, this thesis analyzes the concrete implementation process of internal control system in investment fields and how companies can control effectively at each critical controlling point.