The Research On The Quality Of Compensation Incentives Incentive And Internal Control Information Disclosure Of Family Business Management

Family business has contributed a lot to the development of global economy and society,and has become one of the most important economic entities in many countries.As far as China is concerned,a large number of family listed companies compete to be listed on the sme board and gem board,and family enterprises still become a force that cannot be underestimated in China's capital market.However,there are still some problems in the internal control of family enterprises in China,such as cronyism,lack of position control,serious management centralization,lack of internal constraints,accounting information distortion,and inadequate asset management.The bankruptcy of taizinai group is a painful example.These problems seriously hinder the long-term development of family enterprises in China.Family enterprises need high-quality internal control information to improve the internal control system.The research on the role of executive compensation incentive in the disclosure of internal control information of family business rarely appears.This paper aims to make up for this research gap,enrich the research on the compensation incentive mechanism of Chinese family business management,and have far-reaching significance for the in-depth understanding of family business behavior.Articles used in Shanghai and shenzhen two city family listed companies in 2008-2017 sample data,the executive compensation incentive and the relationship between quality of internal control information disclosure and logic assumption is deduced,and through empirical tests of hypothesis is set up,the study found that:(1)in the family business,management of monetary compensation,the higher the quality of internal control information disclosure.Moreover,this positive relationship is weaker in companies with good investor protection in the legal environment.(2)in family enterprises,there is a u-shaped relationship between the level of management's equity compensation and the quality of internal control information disclosure.Based on several research conclusions,this paper puts forward some Suggestions on how to set up reasonable salary incentives in family enterprises and how to improve the legal environment for investor protection by relevant departments,aiming at offering Suggestions on how to improve the quality of internal control information disclosure in family enterprises in China.