The Influence Of Media Reports On The Allocation And Governance Of Bank-firm Credit Funds

At present,with the development of China's economy and society,the company's shareholding structure is more complicated,and the scale of operations is becoming more and more large,especially cross-industry cross-regional and multinational operations,which makes the company's ability to whitewash financial information and even financial fraud continue to increase.And those things greatly reduce the authenticity of financial information.Banks are an important source of external financing for Chinese companies.They also play the role of debt governance in corporate governance.Information is the key of banks to providing credit financing and debt governance.However,in the traditional sense,banks rely mainly on financial information of enterprises to carry out the effect of credit financing and debt governance.Therefore,in the case that the financial data of the enterprise is whitewashed or even fraudulent,decision-making based solely on financial information will inevitably reduce the effectiveness of the banks' decision-making.In the context of the increasingly complex business environment,non-financial information plays an increasingly important role,enabling external investors to have a clearer understanding of the real business conditions of the company.As an important form of non-financial information,media reports not only have the characteristics of general non-financial information,but also the professional advantages of integrating the scattered information of enterprises,and in-depth research and mining of incremental information of enterprises,and can provide information of real business status of enterprises.In addition,the existing research of media reports on the analysis of corporate behavior mainly include two aspects:media reports cause government and other regulatory authorities to intervene to change corporate behavior,and media reports increase public attention to the company,and change corporate behavior.Few studies have examined the impact of media reports on corporate behavior from a bank perspective.So what role does media reports have for banks of providing credit financing and debt governance?This paper mainly answers the above questions.At the same time,because the bank credit allocation efficiency is a process involving credit financing and post-lending supervision and management,after examining the effect of media reports on corporate credit financing and debt governance.This paper further examines the impact of media reports on the efficiency of bank credit allocation.In summary,in order to better examine the impact of media reports on bank credit decision-making and debt governance,this paper constructs a systematic theoretical analysis and research framework of media reports on "bank credit financing-debt governance-credit allocation efficiency".Using the 2010-2016 Shanghai-Shenzhen A-share listed company as a research sample,we found that media reports have a significant impact on corporate credit funds,bank debt governance,and credit allocation efficiency,At the same time,the nature of corporate property rights,the transparency of corporate information,and the authority of corporate audit will also have an impact on these effects.In addition,this paper discusses the influence of media reports on the content of the above theoretical analysis framework from the perspectives of negative and positive media reports,types of media reports of different regions,types of corporate investment efficiency,types of corporate credit,and credit costs.The research content deepens our understanding of the relationship between media reports and corporate credit financing,bank debt governance,and credit allocation efficiency.This paper has certain theoretical significance and practical value.In terms of theoretical significance,this paper enriches the theoretical research on media reports,corporate credit financing,bank debt governance,credit allocation efficiency,etc.In addition to the general enrichment of research content in these fields,the outstanding theoretical contribution reflects in three aspects:First,open the theoretical research of media reports from the perspective of banks.At present,the analysis of the mechanism of media reports affecting corporate behavior mainly emphasizes the media organizations' assistance to government intervention and the media reports that cause public attention.This paper includes the bank,which is an important external corporate governance body,into the scope of impact mechanism.The research content expands the theoretical research in the field of media reports.Second,emphasizing the impact of media reports in research areas of bank credit financing,debt governance,and credit allocation efficiency.Due to traditional reasons,the above research fields mainly emphasize the role of financial information,but with the development of economic society,the complexity of the scale of enterprises,especially the cross-regional and even multinational operations of enterprises,the ability of enterprises to whitewash financial information and even financial fraud has been continuously improved.These financial information,which including false components,greatly affect the effectiveness of decisions on bank credit and debt governance.As a kind of non-financial information that contains the real business situation of the company,media reports can make up the lack of financial information and improve the efficiency of bank decision-making.Third,emphasizing the true information of enterprises is an important factor affecting the debt governance of Chinese banks.Traditional research mainly emphasizes that government intervention in the financial system is the reason why banks are unable to play debt governance.We believe that after years of commercialization and market-oriented reforms,China's banks have already possessed the ability to conduct debt management on enterprises,and whether it is possible to obtain information about the authenticity of business operations is an important reason that affects the effectiveness of bank debt governance.This finding also provides a new perspective for follow-up research.In terms of practical value,the practical implications for banks are that during the process of providing credit financing and debt governance,banks need to supplement not only financial information of enterprises but also non-financial information such as media reports.So that the banks can clearly understand the real business situation of the company and improve the efficiency of decisions.For enterprises,we believes that enterprises should attach great importance to the normative behavior of their own behaviors,and avoid the negative impact of negative media reports on their own operations.In particular,enterprises can reduce the punishment of enterprises such as banks and other external governance entities by improving their transparency of information and communicating timely with the outside world.