The Empirical Research On The Impacts Of The Quality Of Internal Control On The Efficiency Investment Of Company

Nowadays in the field of finance, as one of the effective means to maximize the interests of the listing Corporation, investment decision has become a hot topic. Especially in the case of a number of typical cases of investment surplus, this topic is more important as a top priority of the company’s management agenda. Many scholars have studied the problem of non efficiency investment, and put forward a variety of views, also launched a fierce debate. However, from the current research results,on the efficiency of investment optimization problems have not been effective conclusion. and it is not difficult to see from these studies, scholars may not be in-depth study of its internal nature of the problem and external optimization can not be fundamentally settlement of investment efficiency.To improve the efficiency of enterprise management in our country is also a particular concern issue.2008 release of the "basic norms of internal control" and the 2010 release of "corporate internal control guidelines" for how to improve the quality of internal control of enterprises, the company is expected to study from the perspective of internal control, improve the quality of information disclosure,and then improve the effect of operation. Based on this background, the frequent release relevant internal control guidelines in our country, under the premise of the internal control system is increasingly perfect, from the perspective of internal control, to seek effective measures to improve the efficiency of the enterprise investment.Firstly,this paper analyzes the main basis of the occurrence of irrational investment behavior from four perspectives;Then analyzed the quality of internal control through what way to correct the efficiency investment issues,and put forward three hypotheses; Again uses the principle component analysis method to construct a measure of internal control quality as independent variables, and construct the three models;Finally, using empirical data from Shanghai and Shenzhen two markets 2011-2014 to empirically test the hypothesis whether established. Empirical test is divided into three parts: In the first part, the internal control index and the investment efficiency are included in the same mode to direct test of the effect of internal control on the investment efficiency of the company.In the second part, according to the calculation of the Beh Finn Dahl index size, the sample firms is divided into competitive industries and lack of competition in the industry, to further test the impact of internal control quality on the investment efficiency difference;In the third part,the industry competition status is introduced into the model to examine the industry’s competitive position would not affect the sensitivity of the quality of internal control and efficiency of investment.The results showed that:(1) A shares of listing corporation generally exist in investment and over investment in Shanghai and Shenzhen two markets,and the investment is more serious.(2)The quality of the internal control of the listing corporation is not high, and it needs to be improved.(3)The efficiency of the internal control index and non-investment level was negatively correlated, indicating a high quality of internal control can indeed significantly suppressed inefficient business investment phenomenon.(4)The quality of internal control can significantly inhibit the degree of competition lower industry’s inefficient investment,investment on a higher degree of competition,although the industry’s inefficiency is negative but not significant.(5)The higher the industry’s competitive position, the stronger companies to invest in the efficiency and quality of internal control sensitivity.