Research On The Discrimination Factors Of My Country’s Listed Companies’ Untrustworthy Behavior

Integrity is the cornerstone of China’s capital market.Market economy is a legal economy,and it is also an integrity economy.The securities market is an important part of the market economy.Integrity construction has always been a shortcoming of the development of China’s securities market.As a new organizational form that only appeared in the 1990 s in China,listed companies in China are particularly concerned about their integrity because they can obtain huge amounts of financing through the capital market.Such as financial fraud,performance "face changing",connected transactions,executives Many cases of non-faithful conduct,such as being investigated,have made the originally weak A-share market even worse,which directly affected the development of China’s economy.Taking into account the existing cases of dishonesty,and the research perspective is mainly concerned with internal governance factors,this article focuses on empirical research methods,supplemented by literature research methods and case study methods,and uses the three theories of incomplete contract,information asymmetry,and principal-agent theory to introduce three assumptions,namely frequent connected transactions and failure to issue audit reports Whether the three issues of out-of-control management and internal control management are the discriminating reasons for a listed company’s dishonesty.At the same time,by selecting A-share listed companies in Shanghai and Shenzhen from 2015 to 2018 as initial samples,and using related model analysis to study the relationship between these three factors and the dishonesty of listed companies.At the same time,combined with relevant cases to further confirm,and reached the following conclusions: frequent connected transactions,failure to issue audit reports and internal control management out of control are all positively related to the probability of dishonesty of listed companies,all of which are factors that determine that listed companies have irregularities.Aiming at the above conclusions,this article mainly proposes several suggestions that are helpful to the company’s integrity construction from the perspective of corporate internal governance research.One is to optimize the equity structure and equity incentives to restrict the dishonesty of listed companies;Combined to form an effective financial management restraint mechanism;the third is to establish a sound internal control system to improve the effectiveness of internal supervision.