Risk-oriented Audit Model Established Before And After The Comparison Of Our Country's Audit Market Behavior, Structure And Efficiency

The establishment of Risk-Oriented Auditing in2006made the firms to take certain measures to compete in the audit market. Based on this specific background, this paper attempts to explore the influence of establishment of risk-oriented audit mode on audit market.This paper first analyzed the origin and characteristics of risk-oriented audit mode, and changes compared to the traditional audit model. On the basis of SCP paradigm of industrial organization, the paper gave the analysis framework to study the influence of risk-oriented audit mode on audit market. In the basis of literature review and theoretical analysis, this paper tries to analysis and study the following three problems:(1) the influence of risk-oriented audit mode on audit market’s competition behavior;(2)the influence of risk-oriented audit mode on audit market structure;(3) the influence of risk-oriented audit mode on audit market’s efficiency.Through the result of empirical analysis shows that:first, the establishment of the risk-oriented audit mode has made the firms to merge with other firms and developed specialized skills. Secondly, the establishment of the risk-oriented audit mode has changed the proportion of audit market with different scale firm, increased market concentration, but on the big audit customer market domestic firms" competitiveness is still weak. Finally, the establishment of the risk-oriented audit mode makes production efficiency of the firm itself and the efficiency of the audit industry change. The result shows that, the firm’s production efficiency after the model established has declined in different degree; firms need to pay attention to improving the efficiency. The audit market efficiency in terms of audit quality does not get promoted, showing that the risk-oriented audit mode still needs long-term efforts.This paper tries to analyze the influence of the risk-oriented audit mode in terms of audit market behavior, construction and efficiency. And it has concluded relatively rich conclusion, enrich the related research about risk-oriented audit mode and made some suggestions for follow-up study.