Online game companies earnings management and motivation
|School||Shanghai University of Finance and Economics|
|Keywords||Online game industry Technical value of online games Earnings Management Income concept Information View Contract of|
Earnings management in academia, a 30-year-old research topic. In our financial accounting scholars in economics, most of the focus of the study of earnings management on the level of the listed companies, which would be comprehensive and completeness. In addition, the market economy flourish, whether it is a listed company, now companies or family businesses, are increasingly concerned about corporate earnings management. In addition, for policymakers and government regulation of accounting standards, to fully grasp the various industries, the earnings management behavior of the various types of enterprises, help to strengthen the supervision and regulation of the market, the market economy healthy and sustainable development. Foreign investment bank Digi-Capital recently released \China will replace the United States as the leader of the global game market. Report according to the the game market changes from 1998 to 2010, the income and development of the global game party analyzed. The Investment Report game industry venture top 10 investment accounts for about 60% of the total assets in 2010, and apparently turned to online game companies. Development in the future, mobile phones and online games investment focus direction. Seen, China's online game industry entered a period of rapid development, not only that, it led to the common development of other industries, is gradually becoming the operator of online games industry with Chinese characteristics. The process of development of the entire online gaming industry is inseparable from capital operations and earnings management. However, online games as a form of emerging economies - the virtual economy, kept making earnings management is different from the traditional industry earnings management motives and means. We found that many online game companies I main motivation is to obtain a high-tech science and technology titles, transfer of profits and financing. Institutions and strengthen the construction of the R \u0026 D team, the formation of intangible assets, strengthening R \u0026 D expenditure capital to adjust the income, capital impairment and related party transactions and other means in order to achieve the original intention of earnings management. The final economic consequences is to get government support, enjoy tax incentives, to get venture capital. Contrast experts and scholars in the past related to earnings management, this paper has two main innovations, the main table: (a) the study of Innovation past earnings management of listed companies as the focus of the analysis is to grasp the macro, gaming enterprises lack of maneuverability. In this paper, starting from the point of view of the online gaming operators, analysis of online games transport operating environment, to gaming operators profit model to determine the meaning and the elements, the establishment of corporate earnings management move, means analytical framework, the specific operations of the online gaming operators with strong practical significance. (B) the innovation of the research is still no article about online gaming operators Earnings Management, the proposition itself is a kind of Characteristics and Innovation. The content of this paper innovation is mainly reflected in two aspects: one is the special nature of the incentives to manage earnings, general incentives to manage earnings lack of applicability of the industry, and a detailed analysis of the operating environment and profitability of the online gaming operators mode , laid the basis of the special motive for earnings management, innovation timeliness; on the other hand is a summary of the specific means and methods used by the online game companies, due to the current earnings management means the vast majority are still stuck in the traditional industries case studies as well as listed companies or directed against a specific traditional means of content analysis and exploration, and thus the existing online game operators with a strong practical guiding significance.