The Impact On Earnings Management From The Corporate Structure Of Private Listed Company With Empirical Studies

Corporate governance structure is a crucial issue in the development of privateenterprises. In recent years, private enterprises in china are on the increase in growth bothin number and domestic product, and even more than the companies which are not privateenterprises. However, Chinese investors are not confidence to private listed companies dueto the information asymmetry and enterprise system is not very perfect, which restrict thedevelopment of Chinese private listed companies to a certain extent. The earnings ofcompany is the main basis of investors to invest or not, and earnings management problemis under the influence of corporate governance structure. Therefore, by Chinese privatelisted companies on the impact of governance structure on earnings management, which haspositive significance no matter in theory or in practice.The purpose of this paper is using empirical data to study the relational factors ofcorporate governance structure associated with the degree of earnings management throughthe method of empirical study. Then put forward the influencing factors of corporategovernance structure of private enterprises which need to strengthen and improve accordingto the results of the research. Reasonable private listed corporate governance structure andreal earnings information is very important to the quality of Chinese private listedcompanies themselves and the long-term development, to protect the interests of small andmedium shareholders and investor information between communication.The article first part is the review of the literature about the earnings management, theprivate corporate governance structure and the influence of corporate governance structureon earnings management according to domestic and foreign research. According to thereference literature, first of all, the article introduces some related definition, such asearnings management, corporate governance structure, the concept of private listed firms anso on. On the basis of conceptual understanding, the article first expounds the motivation ofearnings management and the measurement model of earnings management. Then, thearticle reviews the development of Chinese private listed companies systematically andintroduce the present situation of the private listed companies. Finally, the article expoundsthe Chinese private listed company earnings management motivation and the commonways of private listed company earnings management in our country. The theory research laid a certain foundation for subsequent empirical research.Then, the article puts forward some correlation assumption about Chinese privatelisted company governance structure and earnings management on the basis of theoreticalresearch. By collecting and organizing the data, the article first using the chart method topoint out Chinese private listed company earnings management degree and the change ofthe earnings management over the years, and comparing with the earnings management ofChinese listed company, which is a bedding for the follow-up research of the earningsmanagement of private research. Then the article study the degree of private listedcompanies earnings management from the profession and the years. Then, the articleanalyzes the corporate governance structure of private listed companies by descriptivestatistical analysis. On the basis, the article concluded the corporate governance structurefactors which affects the earnings management by the regression analysis. The resultsprovide reference basis to improve the private governance structure.Finally, the article summarizes the result of the research, then put forward somesuggestions to improve the governance structure of private listed company in our country toreduce earnings management behavior according to the result of the research, and pointsout the deficiency of the research and the forecast of the article.