Research On The Influence Of Inner Corporate Governance On The Budget Flexibility Of Chinese Listed Real Estate Companies

Budget management is one of the most important contents in management accounting,and its basic principle is to keep modest budget flexibility.It is a systematic activity of distribution,assessment and control of financial resources and non-financial resources.Under the unique institutional background of our country,the research which is inner governance structure influence on budget flexibility deserves further study.The real estate industry is the pillar industry of our national economy,it is an important perspective to inspect the basic aspects of our economy.Therefore,researching and exploring the impact of inner corporate governance factors on budget flexibility is of great significance not only for the real estate listed company to optimize the internal governance,but also for real estate companies to promote the sustained and healthy development.Using the combination of theoretical analysis and empirical research,the thesis demonstrates the impact of inner corporate governance factors on budget flexibility of listed real estate companies.Firstly,this thesis expounds the background and significance of studying the capital structure of Chinese real estate industry from budget flexibility;Then this thesis proceeds,from the three aspects of the development of equity structure,board characteristics and executive incentive,to make a specific empirical analysis on the following six key indicators including the ownership property,ownership concentration,equity restriction and board size,board independence and salary incentive,equity incentive to conduct a specific empirical analysis.Finally,based on the empirical results,this thesis put forward some inspiring recommendations.The results show that: for real estate companies,the budget flexibility of state-owned corporation is larger than private corporation.equity concentration,ownership restriction,equity incentive have significant negative effects on budget flexibility.But board size,board independence and salary incentive have no significant impacts on budget flexibility.In order to prevent the appearance of budget slack,the real estate listed companies should improve their internal governance structure from following aspects,including improving the unreasonable equity structure,adjusting the structure of board,increasing executive equity incentive and so on.