A Comparative Study Of China And Saudi Arabia SMEs Internal Control

Internal control is a means to achieve business objectives,to ensure the normal development of enterprises.The quality of internal control determines the future development direction of an enterprise.For small and medium-sized enterprises,internal control is also the basis for the enterprise to maintain high speed operation and enhance the economic efficiency.This paper compares two countries,China and Saudi Arabia of small and medium-sized enterprises of internal control in China and Saudi Arabia A is representative of the small and medium-sized enterprise as a case study,summarize the differences in their internal control,and puts forward the improvement suggestions and solutions.This paper selects China an electronics manufacturing enterprise and Saudi Arabia a petroleum exploitation enterprises as samples,from the five elements of internal control: the internal control environment,risk identification,control activities,information and communication,monitoring and evaluation of five aspects contrasting analysis of the current status of the small and medium sized enterprises in the two countries.The results show that the management level of small and medium enterprises is still to be improved,and the internal control system of small and medium enterprises is not perfect.At the same time,because of the difference of accounting system of the two countries,there are still some differences between the two countries.In addition,compared with the small and medium-sized enterprises in China,there is still a certain gap between the internal control of small and medium enterprises in Saudi Arabia,and there is still a great room for improvement.The small and medium-sized enterprises in Saudi Arabia and the oil,foreign trade and other related areas,the risk control ability is weak,the management level in this area is also needed to improve the ability.