The Relationship Between Internal Control And Inefficient Investment

Since the 12th five-year plan,the development of domestic manufacturing industry had been seeking,significantly enhanced in terms of comprehensive strength and international competitiveness,but along with our country economy the new normal is proposed with the propulsion,resources such as the cost is very crucial in the domestic,along with the development of economy,the environment also has the very big change,present price period of transformation and upgrading of manufacturing enterprises face the opportunities and challenges.According to the national bureau of statistics survey,manufacturing still accounts for more than a third of China’s GDP,according to statistics,in 2015 and 2016,the proportion of investment in fixed assets and manufacturing of the whole industry investment proportion are 32.67%and 32.67%respectively,visible manufacturing is still a important force to promote the economic development of our country.After the "made in China 2025" plan proposed in 2015,the state has put forward new thinking on the transformation and upgrading of manufacturing industry,and the top priority of business managers is not the current profitability of enterprises.It goes without saying that investment decisions affect the enterprise’s financial management of the three major decision-making,is to promote the backbone of the enterprise value growth,but at this stage of the research of scholars tell us that make enterprises lack a big factor is in front of the efficiency of investment.Some scholars believe that information asymmetry and principal-agent theory are closely related to enterprises’ non-efficient investment behavior.Therefore,from the perspective of information asymmetry and agency cost,the research on how to restrain the non-efficient investment behavior of enterprises is a major problem in the sustainable and healthy development of enterprises.Enterprise internal control basic norms and related auxiliary guide(2010)the promulgation and implementation of marking the basic completion of the system of internal control in our country,the hope can through the relevant internal control system as a whole level solve the problem of enterprise facing all kinds of operation and management,improve enterprise value,promote the implementation of enterprise development strategy.Subject starting point of this article is in view of the manufacturing enterprises in the low efficiency of investment in the process of operation common situation,internal control as a key link of internal corporate governance,the construction of the system and the system constantly improved.But whether the level of internal control is related to the quality of enterprise investment efficiency,can the construction of internal control system inhibit the non-efficiency investment of enterprises?Research on these problems can make the enterprise a deeper understanding of internal control in corporate governance role,more actively perfect internal control system,enhance the level of enterprise resource allocation and efficiency in the optimization of enterprise investment to improve enterprise value on the basis of long-term goals.This paper takes the data of all a-share listed companies from 2013 to 2016 as samples and find out the efficiency of internal control by means of shenzhen diber internal control index.Secondly,in order to accurately measure the efficiency of investment level,the purpose of this paper chose to use Richardson model and carries on the revision,will further to over-investment and under-investment samples classification research,as the main dependent variable in the model;By building regression model,descriptive statistics was carried out on the sample about variable,multicollinearity test,regression analysis and robustness testing,empirical research on the internal control effects on the investment efficiency of listed companies.Finally,further consideration to the special property right system in our country,state-controlled is further divided into state and local state-owned enterprises,in the empirical test again.