Impact On The Internal Control Disclosure Of Information By The Ownership Structure Of Our Family Controlled Listed Companies

The family business is one of the common forms of business organizations in the world. According to the statistics of the Chinese version of "Forbes", at the end of June 2010, Shanghai and Shenzhen stock market listed companies have a total of 305 family businesses, and this accounting for 36.2% of the total number of the private listed companies. At the same time, the statistical results show that the listed family firms overall performance is superior to non-family business. And the structure of family listed companies is relative unique. The controlling family tends to achieve the control by constructing the pyramid holding structure. In addition, there is a serious phenomenon of family focus on controlling, and the company's supervisors, even managers are mostly filled by family members in these listed family business.In recent years, Case of loss of many companies are all exposed to the weak of internal control and the lack of the disclosure in internal control information of listed companies in China. In order to promote and guide the construction of internal control of listed companies in China, improve corporate risk management standards and protect the legitimate rights and interests of investors, China has released a lot of documents Ordinance to regulate the disclosure of internal control.Background on such situation, this paper selects the family business of listed companies as particular object to study, starting from the ownership structure characteristics and deeply analyzed the impact on the internal control disclosure of information. Firstly, this paper analyzed the development status of the family business and the characteristics of the ownership structure of family controlled listed companies in China. Then, the theoretical part on the one hand analyzed the traditional theory of the internal control disclosure of information. On the other hand, it summarized research achievements of the ownership structure and internal control disclosure of information. At the empirical part, the article selected A-share family controlled companies listed on Shanghai Stock Exchange and Shenzhen Stock Exchange from 2008 to 2010 as samples and Depth analyzed the impact on the internal control disclosure of information by the ownership structure of our family controlled listed companies through the establishment of the regression model. The results found that the ownership structure of our family controlled listed companies has important implications to the internal control disclosure of information. Through both theoretical and empirical research, the article bring forward several proposals of how to improve the family controlled listed companies' ownership structure and relevant laws and regulations about internal control disclosure of information, and this provide a reference of how to improve the disclosure of internal control regulation.