Study On The Relationship Between Internal Control Quality And Business Performance Of Listing Corporation

Business performance represents the final results of its operations management, is the best indicator data as a measure of the outcome of business operations. According to the decision-making organization theory, investors to establish companies or investment purposes, is hoping to earn money, get good business performance, making their own interests to increase; and by the principal-agent theory shows that investors can only act as an agent as principal The influence of management, while not directly make decisions, agency conflicts arising between this will affect the interests of investors, the impact of business performance; based on information asymmetry and signaling theory, improve the quality of internal control can deepen investors to understand the extent of information on all aspects of the company, in order to guide the development of an agent to lead the company, and ultimately makes the improved operating performance of listed companies. In recent years, China’s GDP at the same time, macroeconomic and financial sector appeared in the rapid growth of a large number of new phenomena and new problems and new contradictions, such as the system is relatively backward, too, such as the government’s macro-control, under different background of the shareholders of listed companies external environment presents a greater difference. The internal control system is also studying the theory and practice of business scholars continue to improve, the development of enterprises also have more significant impact. Therefore, to explore the relationship between the quality of internal control of listed companies and business performance is very important. In the study of the internal quality control of listed companies and the relationship between business performance, we use empirical research-based, standardized research and empirical research method of combining.In theory, the paper reviews and summarizes the methodology and findings of the existing literature, and in the decision-making organization theory, agency theory, asymmetric information theory and signal transmission theory as the basis to analyze the quality of internal control of listed companies the impact on business performance mechanism for empirical analysis below theoretical foundation. Based on the decision-making organization theory, a listed company as an organization, its objectives of various decisions are to bring more benefits to listed companies, if the listed company has a good quality of internal control, will be able to make decisions more accurately, reasonable allocation and use of resources owned enterprises, so that the cost of running the organization down to an acceptable low level of business performance which will have a positive impact. Adverse impact on agency theory, the existence of a listed company would contradiction agency business performance, but good quality of internal control, can weaken agency conflicts, enhance communication between the principal and the agent, and the agent Better to play a supervisory role, and thus the operating performance of listed companies play a positive role. Based on the theory of asymmetric information and signaling theory, a good quality of internal control enables listed companies can effectively deliver internal information, the Board of Directors to make decisions can be effectively implemented on the normal operation of enterprises have a invaluable role; external information Effective disclosure can get more market reaction, favored by investors, safeguard the interests of enterprises; by more than two points, a good quality of internal control to ensure the validity of the information passed to improve the operating performance of listed companies.Positive aspects, the paper and the development of enterprises based on four important aspects (profitability, operational capacity, development capacity, solvency), each representative to select multiple indicators, such as return on equity, total asset turnover, etc. Listed as a measure of operating performance standards, avoid using only a single index brings limitations. Listed companies on the internal quality control measure, China has made great progress in the coming year, "Dibo·Internal control index of Chinese listed companies’ announcement marks the quality of internal control can be quantified into the era. This article also select 2009-2013 "internal Dibo· Chinese listed companies controlled index" as a research base on the quality of internal control of listed companies, the proposed hypothesis and multiple linear regression model to study the quality of internal control of listed companies and Operating Performance relationship. After the adoption of qualitative analysis and quantitative analysis methods, combined with descriptive statistical analysis, principal component analysis, correlation analysis and regression analysis of listed companies on the internal control relationship quality and operating performance of empirical research, this study found that the internal control of listed companies quality and business performance is a positive correlation. According to the empirical findings, put forward a sound system of internal control relevant countermeasures enterprise.