The Research On The IPO Of Archite Ctural Decoration Industry Companies Based On The Background Of IPO Reform ERA

This paper investigates the evolution of the Chinese IPO mechanism andhow the current IPO market reform impacts the going-public decisions andprocesses for the decoration industry firms. The current IPO market reformhas focused on improving the disclosure quality in the areas of increasinginformation disclosed and increasing the time period that the financialinformation is available to the public. As a result, this series of reform effortshave prevented some firms with speculative intents from going public andtherefore increasing the quality of the IPO firms. The decoration industryfirms are far less well represented in the public firm population. The focus ofthis paper is to examine what efforts that the decoration industry firms shouldprepare themselves for going public under the reformed going publicmechanism. Through a real-world case, we show that in order to be betterprepared for the IPO process and be successful in going public, firms in this industry should pay special attention to budget control, internal audit controland the ability to maximize the realization of the cash flow from salesrevenue.