Receiving Management?Characteristic Of The Control And Accounting Transparency Of Family Business

Since the late 1990s,the concept of transparency in accounting information has been the general concern of the accounting profession.With the development of the capital market,the quality of information disclosure has been increasing.The degree of information disclosure chosen by the company is determined by the results of the game between different interest groups within the company,and the root of the different interest groups is the company's control.In other words,the control is an important factor of the transparency of accounting information.At the same time,the status of family enterprises in China's economy can not be ignored.With the growth of the first generation of founders and the aging of their knowledge structure,the second generation members gradually participate in the management of enterprises.The essence of intergenerational transmission is the internal transfer of the control of family business.With the deepening of family members' involvement in management,the characteristics of the control will be changed,which will also lead to the change of enterprise accounting transparency.To sum up,based on the theory of agent and signaling theory,this paper explores the relationship between the characteristics of the control and the transparency of accounting information of family business from 106 listed family firms from 2010 to 2015,and further analyzes the influence of receiving management to the relationship between the characteristics of the control and the transparency of accounting information.This paper expounds the characteristics of control from three aspects:ownership concentration degree,degree of ownership balance and two rights separation degree,and analyzes its correlation with the transparency of accounting information.Secondly,the family business intergenerational transmission is divided into two stages based on the process view,namely,participation management and receiving management,and in-depth analysis the influence of receiving management on the characteristics of control and accounting information transparency.It is found that ownership concentration degree is negatively correlated with the transparency of accounting information,the more concentrated the equity,the lower the transparency of accounting,and after receiving management,the degree of ownership concentration is negatively correlated with the transparency of accounting;degree of ownership balance and accounting information transparency is positive correlation.The stronger of other shareholder's ability to admit the larger shareholders,the higher of accounting transparency.Besides,the family of second-generation receive management,equity checks and balances on accounting transparency to further enhance the positive effects.Two rights separation degree and accounting transparency is negative correlation.However,the negative influence of receiving management on the relation between two rights separation degree and accounting transparency is not obvious.The conclusion of this paper is helpful to improve the corporate governance structure and how to improve the transparency of accounting information in the process of intergenerational succession.