The Empirical Study Of Non-financial Information Disclosure Of China’s Manufacturing Listed Companies

Traditional financial statements are financial information based, mainlyreporting capital flows and working in a certain period. Whether financialinformation could evaluate the actual circumstances of a company is increasinglyquestioned. With the development of China’s financial market, listed companieshave different business environment. The financial statements with financialinformation could not satisfy diversified information any more. Listed companies arerequired to disclose more information in public than before; however, informationpublished is patchy. As to the disclosure of financial information, it has some urgentproblems to be solved.This study proceeds from corporate governance, and researches thenon-financial information disclosure problem. By observing non-financialinformation disclosure in China’s broad background, the manufacturing listedcompanies are selected as the main object of study, some non-financial informationdisclosure problems are put forward.Firstly, the study reviews and analyzes the existing research results at home andabroad. Conclusions are based on the integration of various theories withnon-financial information’s meanings,characteristics and contents. The study alsoclears the followed discipline of non-financial information.Secondly, based on theory, the study aims at356manufacturing companies inShanghai Stock Exchange, analyzing annual report from2008to2012, determiningthe research hypothesis, explanatory variables and explained variables, the linearregression model, the fixed effect model, and the random effect model. Then, thescores of non-financial information disclosure are ranked from high to low, andsamples are divided into the NFD-Low Group and the NFD-High Group. The studytests difference between the two groups, takes multivariate linear regression analysison two groups respectively, and makes conclusions research based. Finally, in orderto reduce the influence of extreme value of the results of the regression, usingbilateral shrink to handle the outliers, and then using the linear regression model, thefixed effect model, and the random effect model again. The more shares the first bigshareholder holds, the lower level of the non-financial information is disclosed; thehigher ratio of independent directors, the higher disclosure level of the non-financial information; when the chairman also serves as the general manager, the disclosurelevel of the non-financial information is low; the higher level of managerial shareownership, the lower disclosure level of the non-financial information; the biggerscale of the supervisory board, the higher disclosure level of the non-financialinformation; the bigger scale of the company, the higher disclosure level of thenon-financial information; the better profits of the company, the higher disclosurelevel of the non-financial information; high leverage companies are less likely todisclose much non-financial information.Thirdly, based on the empircial research, some suggestions are made. As to thebasis of corporate governance, foster multiple ownership subjects, lower ownershipconcentration, and optimize the equity structure; improve the independent directorssystem, and give full play to the role of the independent director supervision; givefull play to the role of the supervisory board. Meanwhile, joint efforts to improvenon-financial information disclosure are needed: foster multipie ownership subjects,and build up a sound non-financial information disclosure system.At last, the study looks far ahead into the future research, expands existingtheory basis, adopts other relevant theories, explores accurate measurement approachof non-financial disclosure, and enhances the non-financial information theoryresearch under the market economic system in our country.