| Along with the need of standardization in the Stock Market, the pursuit ofhigh-quality investment decisions. people pay more and more attention on the factorof the effective investment. By the research from the perspective of corporate lifecycle, the report wants to dynamically study the degree of earnings management, andhow earnings management in different level infect the internal efficiency ofinvestment..The paper selects3780China manufacturing listed companies in2008-2012as theresearch object and chooses operating income growth rate, capital expenditure rate,retained earnings rate and corporate age as four indicators to classify life cycle. Basedon the data which includes grow companies, mature companies and stagnantcompanies, we research the influence of the of the corporate investment efficiencyfrom the earnings management one by one. As a result, this paper gets some importantfindings just as follows:Under the premise of not considering the direction of earningsmanagement,the level of earnings management in grow stage and stagnant stage ishigh,meanwhile the level of earnings management in mature stage is low. We alsofound that earnings management was negatively related to future investmentefficiency just only in the grow and stagnant stage, namely listed companies withhigher level of earnings management have lower future investment efficiency. But thisconsequence is not exist in mature stage.The paper is a deeper research about the economic consequences of earningsmanagement. According to the results, in addition to improving the corporate internalstructure, the management and supervisory layer should suppress flexibility thedegree of earnings management. Meanwhile, from all aspects to acknowledge theenterprise, so that they can avoid to make inefficient investment. Of course, It isimportant to improve the technical innovation and establish a sustainable culture sothat the enterprises have been always in maturity, and get the healthy development. |
