The Empirical Research On Factors Influencing On Disclosure Of Internal Control Deficiencies For Listed Corporations In The Shenzhen Stock Exchange

With the increasing risk in finance and management of domestic and international capital market, the construction and execution of internal control concerned by the investor mostly. Laws and regulations legislated from all over world to enhance the supervision of the internal control. In2006,《Shanghai Stock Exchange guidelines on internal control of listed corporations》 and《Shenzhen Stock Exchange Guidelines on internal control of listed corporations》 were promulgated one after another. It requires listed corporations mandatorily to disclose their self-assessment reports of internal control. And 《The supporting guidelines on internal control of corporations)) published by the five ministries. The series of guidelines marks the internal control information becomes one of the most important parts of information disclosure of listed corporations in China.In the listed corporations which disclosing internal control, the quality of disclosing plays a positive role to distinguish the effectiveness of the internal control. This research makes464listed corporations in Shenzhen Stock Exchange in2011as an objective. On the basis of analyzing on the documents and theories related, by using the empirical research, discussing the factors which influence the disclosure of internal control deficiencies, disclosing the characteristics of the listed corporations which has the deficiencies. For testing the results, the robustness test is given at the end of the analyses. And it’s been discovered that the quality of the internal control deficiencies of the listed corporation disclosed is not good. There are deficiencies undisclosed existed. It’s been proven in this paper to make the research more comprehensive. In the end, the countermeasures on both improving the corporate governance mechanism and external supervisory mechanism will be given. It’ll play a significant role on enhancing the quality of disclosing of the internal control.