Study On The Impact Of Corporate Strategic Differences On Earnings Management Of Listed Companies

As a part of non-financial information,strategy is an important deployment related to the sustainable development of enterprises.In the special period of economic transformation and capital market development,the innovative strategic model of listed companies meets the requirements of the times,and the strategic decision deviates from the mainstream trend of the industry,which result in strategic differences.The various financial irregularities scandals in the capital market have pushed earnings management to the research hotspot.Earnings management has been concerned by the theoretical and practical circles for a long time.The performance fluctuation and information asymmetry caused by strategic differences provide motivation and opportunity for earnings management of listed companies.Therefore,it is of great value to study the impact of strategic differences on earnings management of listed companies,and to introduce the quality of internal control to examine the regulatory role of the relationship.Based on the theory of earnings management and strategic management,this paper puts forward research hypothesis,and selects the data of Shanghai and Shenzhen A-share listed companies from 2013 to 2017.After a series of screening and elimination,6556 observation samples are selected.Firstly,the main variables are constructed,and the adjusted Jones model is used to measure the accrued project earnings management;the three-dimensional calculation method is used to measure the real project earnings management;and the six-dimensional indicators are used to construct and measure the strategic difference.Secondly,we use empirical regression model to carry out multiple regression of variables.Thirdly,multiple robustness tests are carried out by variable substitution.Finally,the impact of the nature of equity is further analyzed.The results show that:(1)corporate strategic differences are correlated with earnings management of listed companies and the strategy difference has a significant opposite relationship with different forms of earnings management of listed companies.It will increase the accrued earnings management but reduce the real project earnings management;(2)internal control can effectively restrain the impact of corporate strategic differences from listed companies on earnings management.If the internal control quality is higher,corporate can ease earnings manipulation when strategic differences exist;(3)With different equity nature,corporate strategic differences have different effects on earnings management of listed companies,corporate strategic differences have a significant positive effect on the accrued earnings management of state-owned enterprises,but have no effect on real project earnings management.Obviously,the results are the same after introducing internal control.While the impact of corporate strategic differences on earnings management of non-state-owned enterprises is consistent with the hypothetical results.The main contributions are included: the paper comprehensively analyzes the impact of corporate strategic differences on different earnings management modes of listed companies and checks the regulation effect of internal control,which enriches the relevant theories of earnings management influencing factors.In addition,paper puts forward relevant suggestions from the perspectives of strategic decision-making,internal control of listed companies,information disclosure of regulatory institutions and investment decisions of external investors,so as to optimize the governance level of listed companies,improve the quality of earnings and enhance the protection of stakeholders of listed companies.