The Introduction Of Corporate Governance And Intellectual Capital Of Listed Companies In Financial Distress Early Warning Empirical Research

As the consistently development of economy in our country, the competition inmarket becomes more and more severe and risky, Once the enterprise is in financialtrouble，it will be under enormous economic losses and even a threat to their survivaland development of, in addition to many stakeholders for corporate employees,suppliers, investors, banks are related to livelihoods. Therefore, the growing numberof scholars through the establishment of an effective financial distress early warningmodel to prevent and address the poor conditions of the financially troubled.To predict the state of corporate financial distress and many of the key factorsneed to be considered. View of the increasingly important role of corporategovernance and intellectual capital in the business has established an integration oftraditional financial indicators and corporate governance, intellectual capital twonon-financial indicators of financial distress warning model. The paper takescompanies in China between2008and2011101ST’s company as the study sample,using the same industry standard of similar size, select a1:1pairing normal financialposition of listed companies as paired samples, the use of factor analysis and logisticregression analysis, the establishment of four financial distress early warning model,were used to compare the financial distress1year before, in the first2years, only tojoin a model of financial indicators and the integration of the model predictive abilityof financial and non-financial indicators.The empirical results show that by adding the Logistic model predicting financialdistress of corporate governance and intellectual capital of two non-financialindicators established in the predicament before a year or the previous two years, thanthe early warning model established by the purely financial indicators with more highprediction accuracy.