Research On The Impact Of Mixed Ownership Reform On The Earnings Management Behavior Of State-owned Enterprises

Mixed ownership economy is the foundation of China’s economic construction,and state-owned enterprises are the leading force of China’s economy.Since 1992,the exploration of mixed reform of state-owned enterprises has never stopped.However,throughout history,from praise to stagnation to restart now,the development of mixed reform of state-owned enterprises is not smooth.On the one hand,the problem of corporate governance under the property rights of state-owned shares is serious,and the state-owned assets are implicitly eroded;on the other hand,all sectors of society have doubts about whether the mixed reform will bring the risk of loss of state-owned assets and whether the governance of state-owned enterprises can be improved.In my opinion,the process of mixed reform is a trade-off between short-term pain and long-term optimization.Under the existing equity framework,there will inevitably be a variety of corporate governance problems that distort the company’s information and pursue personal interests,and the mixed reform will focus on releasing these problems;but after the mixed reform,the optimization of the equity structure will restrain the recurrence of these problems from a long-term perspective.All along,too many people have been blinded by the temporary labor pains in the mixed reform.The reason why the society can not treat the mixed reform comprehensively and rationally lies in the lack of comprehensive and specific research.Too much emphasis on the gains and losses in the mixed reform is irrational behavior.We must unify the possible risks and progress in the same perspective,and transform the abstract qualitative conclusions into specific quantitative data,so as to evaluate the mixed reform comprehensively and objectively.Through the analysis,the author finds that both corporate governance and the loss of state-owned assets are closely related to earnings management,and the essence of the mixed reform of state-owned enterprises can be transformed into the change of ownership structure.Therefore,this paper first describes the characteristics of the change of ownership structure in China’s mixed reform from three aspects: the change of ownership attribute,the change of ownership concentration degree and the change of equity balance degree,and then systematically analyzes the possible impact of mixed reform on enterprise earnings management and its internal mechanism by referring to relevant theories.In order to test the content of the analysis more intuitively,based on the idea of government pilot,this paper selects Gree Electric,a representative pilot enterprise of mixed reform,as a case to measure the changes of earnings management in its mixed reform for more than 20 years with accrual earnings management and real earnings management model,and finally draws the following conclusions:(1)in the short run,mixed reform will indeed increase the volatility of earnings management and produce state-owned enterprises Asset loss risk.(2)In the long run,regardless of the mixed reform or after the mixed reform,the optimization of ownership structure can inhibit earnings management and improve the level of corporate governance.(3)No matter what kind of mixed reform mode,there are severe downward earnings management,but unifying interests and strengthening constraints can alleviate this problem.Based on the above research conclusions,in order to promote the smooth implementation of the mixed reform policy and reduce the risk of the loss of state-owned assets,this paper puts forward the following suggestions:(1)in the short term,the government should strengthen the supervision of the circulation of state-owned shares in the mixed reform and improve the relevant legislation.(2)In the long run,all sectors of society support the promotion of mixed reform and build a scientific and balanced ownership structure.Fundamentally solve the chaos of earnings management of enterprises and promote the value maintenance and appreciation of state-owned enterprises.(3)In terms of specific operation,the mixed mode should be selected flexibly and the mixed scheme should be designed.There will be risks in the mixed reform.The key lies in unifying interests and strengthening checks and balances through a complete mixed reform scheme,so as to restrain the possible loss risk of state-owned assets in the mixed reform.