Research on the Relationship between Internal Control and Insider Control
|School||Chongqing University of Technology|
|Keywords||Listed Companies of State-owned Internal Control Insider Control|
With the further development of economic reform,new features appear in the listed companies of state-owned,request us to research the insider control problems from a new angle. Although many scholars at home and abroad did some theoretical and empirical researches on the insider control from different perspectives, there are no scholars do the empirical research from the point of view of the internal control. Internal control system which began to be implemented and gradually improved from the 1990s provides a theoretical basis. This thesis firstly makes the empirical research on the relationship between internal control and insider control based on internal control perspective, in order to provide new ideas which can restrict the insider control problem in the listed companies of state-owned.The“reverse”of this thesis is defined as restriction or control. Due to the impact of the company insider control coin has its two sides,this thesis is not against insider to control the company,but strives to explore a mechanism in order to restrict or control insider control, and limit insiders to damage the interests of the company.So, what is on earth the effect of the internal control on the insider control in the listed companies of state-owned. This thesis tries to answer it by make an empirical analysis. The thesis takes listed companies of state-owned as the main research targets, and chooses the five elements internal control as the breakthrough point. In this thesis, the data of annual report that the listed companies announced and CSMAR data base are the main source of data, and collects the listed companies in Shanghai and Shenzhen between the year 2007 and 2009 being used as sample. The thesis tries to find the relationship between the internal control and the insider control by carrying on the empirical research. Then based on government, enterprises and other aspects, the thesis puts forward new ideas which can restrict the insider control problems in the listed companies of state-owned.This thesis is composed of six chapters, each chapter of the research contents and conclusions are as follows: First chapter is introduction. The chapter gives the background and significance of the selection of subjects, the generalization of this research framework ideas and contents, and the mainly innovation of this thesis. Second chapter is literature review. First of all, the related concept is defined. By reviewing the foreign learners and the domestic learners’ study results about the internal control and insider control problems and theoretical analysis on this question, we find that the researches on insider control in many aspects is maturing, but at present there is no domestic scholars answer above-mentioned questions based on the internal control using empirical research method. This thesis mainly undertakes the research in this point of view. Third chapter is theoretical analysis. Theoretical analysis describes economic theory that internal control has impact on insider control, analyzing correlation between internal control and insider control by the objective and function of internal control, principal-agent theory, economic man hypothesis of insider control subjects, asymmetric information theory. Fourth chapter describes the present situation and cause of the insider control problems in the listed companies of state-owned, mainly interprets the types and performances of the insider control problems, finally analyses the cause of the insider control problems. Fifth chapter is the empirical research on the relationship between internal control and insider control. The first study of ideas, research hypothesis, sample selection, the choice variables and parameters made the necessary data sources said that the combination of positive test results and then a variable relationship between the relevant analysis. Finally, we put forward the mainly conclusions. Sixth chapter includes corresponding policies, recommendations and research limitations.The main conclusions are as follows: In the five elements of the internal control, the variable of environment control and internal director proportion is a significant negative correlation. Just as internal supervision and internal control, the size of the board, the scale of supervisory board and internal director proportion is significant negative correlation, but internal control supervision department internal director proportion is not significant. The assessment of risk variables and internal director proportion is negatively correlated, but not significant. The variables of control activities, information and communication do not pass the test. Research shows that improving the internal control system in the listed companies of state-owned has certain positive role on the restriction of insider control.Compared with the previous studies, the main innovation points of the thesis mainly embodies in the following aspects: The thesis makes an empirical research on the relationship between internal control and insider control based on internal control perspective for the first time. There are both the advanced theoretical exploration, and the urgency of the practice needs. It not only enriches the internal control theory system and expands the categories of the study of the insider control, but also provides new ideas for restricting the insider control in listed company.