Research On The Influence Of Internal Control And Media Supervision On Enterprise Investment Efficiency

As one of the three core problems of enterprise financial management theory,investment is an important means of increasing the value of enterprises.Investment decision-making is one of the components of financial decision-making,the level of investment efficiency reflects the strength of the enterprise allocation of social resources.A variety of market economy frictions do not exist in the ideal capital market.There is no information asymmetry and principal-agent problem,so that the marginal revenue of investment projects is equal to the marginal cost,the enterprise maintained a high investment efficiency.However,the reality of the capital market is not so ideal,information asymmetry and principal-agent problem,moral hazard and adverse selection problems coexist.In this non-ideal capital market environment,the enterprise either choose to continue to invest in the net present value of the negative investment projects,resulting in excessive investment,or to give up the net investment value of the project which is positive decision-making,resulting in insufficient investment.Excessive investment or lack of investment and other inefficient investment behavior not only seriously affect the value of their own enterprises to maximize and long-term development,but also affect the capital market capital flows efficiency.Therefore,it is the key to improve the efficiency of the investment by effective internal and external supervision and management mechanism to alleviate the inefficient investment generated by the information asymmetry and the principal-agent problem.As an important corporate govern mechanism,internal control plays an increasingly important role in corporate investment behavior.At the same time,the rapid development of social economy brings the information technology of the huge leap.As a rapid rise of external social forces,media supervision began to board the listed companies to supervise the political stage of governance.Based on the view of corporate asymmetric information asymmetry,this paper systematically reviews and collates the impact of internal control and media supervision on the efficiency of enterprise investment from internal and external perspectives,and carries on the concept of internal control,media supervision and inefficient investment.The paper analyzes the influence of internal control,media supervision and internal and external supervision on the efficiency of enterprise investment.Rely on the theory of principal agent and information asymmetry,this paper analyzes the influence of internal control,media supervision and internal and external supervision on the efficiency of enterprise investment.Based on the previous literature research and the data of Chinese listed companies,this paper studies the impact of internal and external supervision mechanisms on the efficiency of enterprise investment,and further studies whether there is a mutual complementary relation of both internal control and media supervision.Finally,through the construction of theoretical model and multiple regression analysis,the author draws the conclusion that the internal control and media supervision have positive influence on the efficiency of enterprise investment and the existence of interaction on effect of the two.This paper provides reference to the listed companies to choose the appropriate governance mechanism and broaden the existing theoretical perspective of the study.And expands the literature on role of the external media in the transition countries in the understanding of the mechanism for enterprises to strengthen internal control and improve the media supervision.It is of great practical significance in improving the company's internal and external governance mechanisms,providing a theoretical support to the efficiency of the allocation of resources.The research of this paper must have some shortcomings and limitations,hoping to bring some inspiration and guidance to other scholars' research.And prospect the future research and development direction,hoping to continue in-depth and meticulous research and solve the problem of enterprise investment efficiency.