Research On Family Business Accounting Conservatism And M & A Performance

With the development of family businesses,mergers and acquisitions have become an important means of strategic expansion,but mergers and acquisitions do not necessarily lead to good performance.In the context of industry transformation,the development of China's M & A market is accelerating.The economic impact of accounting conservatism on corporate M & A needs to be further explored.Due to the special nature of family holdings,whether a family business has higher accounting conservatism,and how the relationship between its accounting conservatism and M & A performance is worthy of research,the results of its research will contribute to family business governance and the development of private economy.Based on the above background,this paper combed and analyzed relevant literature at home and abroad.And based on theoretical analysis,taking the 2009-2017 A-share listed family business mergers and acquisitions as a research sample,first analyzed the degree of family business accounting conservatism.Then,for family businesses as the acquirers,further empirically explore the impact of accounting conservatism on short-term and long-term M & A performance,and incorporate the regulatory factor of institutional investor shareholdings into the study.The research conclusions are as follows:(1)The accounting conservatism of family businesses is relatively high;(2)The accounting conservatism of family businesses is significantly positively related to short-term and long-term M & A performance;(3)Institutional investor shareholding ratio has a significant weakening effect on the positive correlation between family business accounting conservatism and short-term M & A performance,and has no significant effect on the relationship between accounting conservatism and long-term M & A performance.Finally,this paper summarized the empirical results,and put forward suggestions from the perspective of accounting conservatism on corporate governance and M & A decision-making,institutional investor investment,market manager supervision,and the development of China's private economy.