Institutional Environment, Ownership Concentration And Accounting Information Transparency

Without the authenticity and reliability of accounting information of listed companies, the stock market can’t develop healthily. Since the establishment of China’s stock market, although the government continues to regulate the accounting information disclosure and strengthens accounting controls to improve the transparency of accounting information, the transparency of accounting information is generally not high. Information distortion problem is serious and Earnings Manipulation is excessive. For the inextricable link of accounting information transparency with its internal and external governance, the article start from Ownership Concentration, which is the core part of the company’s external environment and internal control system, to study its impact on the transparency of accounting information of listed companies and make relevant policy recommendations to improve the transparency of accounting information of listed companies.Through studying the listed companies of Shenzhen Stock Exchange from the year of 2009 to 2012, the article reaches the following conclusions:Firstly, the higher the degree of market, the higher the level of the legal system and the level of government intervention in the lower region, the higher the Public Company Accounting Information Transparency. Secondly, concentration of ownership and accounting information transparency is negative significantly. In other words, the more concentrated the ownership, the lower the accounting Information Transparency. Thirdly, the effects of ownership concentration on transparency of accounting information system will be affected by the institutional environment. Good Institutional environment can reduce the negative effects of ownership concentration on the transparency of accounting information.This paper studies the impact of the institutional environment and ownership concentration to accounting information transparency, enriching the study of factors affecting the transparency of accounting information and putting forward policy recommendations:To enhance the transparency of accounting information of listed companies, we should improve the external environment, such as the construction of institutional mechanisms, optimize and improve the ownership structure of the company and improve the ownership structure of corporate governance and build stakeholder accounting supervision system.