The Research Of Relationship Between The Ownership Structure And Accounting Transparency

Accounting transparency is an important research area on corporate governance, and the disclosure of accounting information is a fundamental corporate governance mechanism. At present, internal and abroad scholar have been made out large numbers of empirical study on Influence of corporate governance structure to the accounting transparency. But the single research of relationship between the ownership structure and accounting transparency are relatively less. And the expert research of the Influence of controlling shareholders to the accounting transparency which based on ownership high-centralization is much more less. Therefore, this paper would base on the presently ubiquitous agency problems between the large holder and small holder. First, based on the effect of controlling right and shareholders' characters, this paper has examined the influence of Controlling Shareholders to the accounting transparency. Next, this paper has researched the relationship between the separation of controlling right and ownership.This article is divided into five parts. PartⅠ:Introduction, Introduce this subject background, related literature review, topics motivation, research ideas and research methods, research framework and thinking arrangements. PartⅡ:Related theoretical analysis between the Ownership Structure and Accounting Transparency. First, the article has marked off the concept of accounting transparency, and emphasis explained the reasons of this paper have selected the Earnings quality and disclosure quality measured accounting transparency. Next, this paper has used the "Entrenchment effect" and "Alignment effect" of centralized ownership, the separation of controlling right and ownership etc theories to analyze the correlation of Ownership Structure and Accounting Transparency. PartⅢ:The paper using the discretionary accruals from Jones model to measure earnings quality and using information disclosure sub-test rating in Shenzhen security market to measure disclosure quality respectively. Then the article making Empirical Study separately to the stock proportion change and the nature of the first shareholder which has influenced the accounting transparency and to the accounting transparency in the separation of controlling right and ownership. PartⅣ:Point out policy recommendations to improve accounting transparency. PartⅤ:Summary and Outlook. Introduce major and other relevant findings, while pointing out prospects on the relationship between ownership structure and the accounting transparency.The research come to the following conclusions from the empirical study:1. a significant negative correlation is taken on between an increase of controlling right and Accounting Transparency, which shows demonstrating an'Entrenchment Effect'. When ownership concentration is low, the state ownership shows the phenomenon of'helping hand' with a positive effect on Accounting Transparency.2. When the ratio of state shareholding reaches a certain level and become controlling shareholder, which be helpful to improve Accounting Transparency, and the results show that an increase in controlling right has magnified the effect of state ownership 'helping hand'.3. Accounting Transparency has a significant negative correlation with the ultimate control shareholders' layers and the separation of controlling right and ownership.