Analysis Of Influence Of Small And Medium-sized Plate Listing Corporate Governance Structure On Effectiveness Of Internal Control

Internal control is one of the important means in enterprise risk control. It plays a more and more important role in the operation of enterprise; and also attracts attentions of regulators,investors and managers. At this stage of China entering an important period of economic transformation, the new economic n orm has become an important consensus. Based on the condition of slower G DP growth rate, the economic development conditions and environment has bee n or is about to have a lot of major changes. Therefore, corporate governance structure improvement, internal control and operational efficiency become more important for small and medium enterprises to survive and grow.This paper use theoretical analysis method and empirical test to get the co nclusion. Firstly, after summarized the literature at home and abroad, the paper organized and classified facts from the board of directors, board of supervisor s, management and shareholders aspects. Secondly, the paper introduces relevan t theories in specific examples. And thirdly, it describes current situations of s mall and medium-sized board-listing corporation governance structure and their internal control effectiveness.Data of this paper are sourcing from the A shares of small and medium s ized listing Corporation in 2013 and 2014. From the board of directors, board of supervisors, management and shareholders aspects, the paper selects explanat ory variables based on characteristics of corporate structure, like the proportion of independent directors,board of director’s scale, general manger participating in the board, the board of supervisor’s scale, management compensation, mana gerial ownership, and equity concentration. Empirical test proved that different governance structures in small board listed company have different effectivenes s levels. In this aspect, it is feasible to improve the effectiveness of internal control in governance structure. Finally, it comes to the conclusion that improve ment of enterprise governance structure, especially in the corresponding policy, can help to increase effectiveness of internal control.