Earnings Management Of IPO Companies Listed On Gem

The establishment of GEM is of great significance in promoting the development of small and medium-sized enterprises and optimizing and upgrading the industrial structure.An initial public offering(IPO)is the first public sale of shares in the capital market.In order to raise the issue price of shares and raise funds,the companies that plan to issue shares will generally implement earnings management to improve the performance of statements.At present,there is a lack of research on real earnings management in GEM.Therefore,this paper mainly studies the accruals and real earnings management behavior of companies listed on GEM in the IPO process,and analyzes the factors of earings management that affect the performance changes of companies listed on GEM before and after the IPO.The specific research contents are as follows:Firstly,this paper introduces the research background,based on the problems raised by the background analysis,then analysis the purpose and significance of the research,introduce the research content and methods adopted,summarizes the relevant research on the connotation and motivation of earnings management by scholars at home and abroad,and introduces the concepts and measurement methods of accruals and real earnings management.This paper adopts the method of combining literature research and empirical research,taking the IPO of companies listed on GEM in 2016 as the sample,sorting out the relevant financial data from the year 2014 to 2018,using the econometric model to process and calculate the relevant data,combining with a variety of analysis methods of empirical research,to study the ways of earnings management and the factors affecting the choice of earnings management methods.This paper draws the following conclusions:(1)Companies listed on GEM take actions of earnings management before and after the process of IPO;(2)In order to manipulate the performance,companies listed on GEM use accrual-based earnings management,and the use of real earnings management methods is more;The choice of the two methods is alternative;(3)Different earnings manipulate methods have different effects on the performance of IPO companies during the process of IPO,accrual-based earnings management improves performance while the real earnings management has a more serious negative impact on the company;(4)The factors such as venture capital holdings,size,growth,financial leverage and so on are related to which earnings management means the company chooses and the performancechanges.Finally,according to the analysis conclusion,from the perspective of strengthening the internal management and external monitoring of enterprises,this paper puts forward the corresponding countermeasures and suggestions to standardize the behavior of companies listed on GEM,and to achieve the orderly and healthy development of China's capital market.