Research On The Influence Mechanism And Effect Of Media Supervision On Corporate Information Disclosure

The quality of information disclosure of listed companies is affected by internal and external factors.When there is a lack of internal governance,it is easy to lead to a series of problems such as incomplete and untrue information disclosure.At this time,external governance will play a certain role.In the information age,media supervision,as an important external governance mechanism,plays an increasingly important role in supervising corporate information disclosure.Due to its unique identity,the media can dig deeply into the relevant information that the company did not disclose to the public,especially some negative information,and organize it for analysis and widespread dissemination,thereby arousing the attention of the public,stakeholders and even administrative agencies,further improving the level of information disclosure of listed companies and protecting the legitimate rights of investors.Although more and more attention has been paid to media supervision in recent years,most literatures focus on whether media supervision can improve corporate governance,and most of them are empirical studies.As for the topic of media supervision and information disclosure of listed companies,few studies have explored how media supervision specifically affects the quality of information disclosure of listed companies and what kind of impact it can have.Therefore,this paper hopes to make an in-depth study on the influence mechanism and effect of media supervision on information disclosure of listed companies by analyzing the case of Han's Laser and tracking the whole process from the first disclosure of Han's Laser information violation to the follow-up report.On July 16,2019,the media took the lead in raising doubts about the European research and development center,which had been built for many years with a soaring budget but never completed.They suspected that the R & D Center was actually a hotel,and pointed out that Han's Laser was suspected of violating information disclosure rules,which officially kicked off the event.Once the report came out,it attracted wide attention of the market.The Shenzhen stock exchange also sent two letters to inquire about it.At the same time,the media also followed up the report,and some media directly went to visit Europe.After a period of investigation,The Shenzhen Securities Regulatory Commission issued the "Order for Rectification and Decision" of Han's Laser,clearly stating that the R & D center is actually a five-star conference hotel.At the same time,it also pointed out that Han's Laser had two problems: failure to perform relevant review procedures for major property purchase projects and inaccurate and timely information disclosure of major property purchase projects,which confirmed the initial doubts of the media.Subsequently,Han's Laser rectified these problems.This paper finds that there are some shortcomings in the internal governance of Han's Laser,mainly manifested in the founder's dominance,and other shareholders have insufficient voice;The chairman and general manager are served by one person,and the actual power is too large to check and balance;The independent directors and the board of supervisors have not fully played their roles.The lack of internal governance to a certain extent led to the problem of information disclosure of large group laser.As an important external supervision mechanism,media plays a vital role in the violation of Han's Laser's information disclosure.The motivations of the media to supervise the Han's laser include pursuing "sensational effects",winning and consolidating social reputation,and media externalities.Based on its own advantages,the media collects,organizes and widely disseminates relevant information of Han's Laser R & D Center in Europe,which has aroused wide attention from all sectors of the society,and then triggered administrative intervention mechanism,market pressure mechanism and reputation mechanism,which has an impact on Han's Laser's information disclosure.The administrative intervention mechanism is mainly reflected in two inquiries by Shenzhen stock exchange and special investigation by Shenzhen securities regulatory commission;The market pressure mechanism was mainly reflected in the company's stock price.By analyzing the CAR of Han's Laser during the window period,it can be found that the market has responded negatively to media queries and inquiries from the Shenzhen Stock Exchange.When Han's Laser responded to the inquiries of the Shenzhen Stock Exchange and issued the "Decision and Rectification Notice",the market response was more positive;The reputation mechanism was mainly manifested in the large number of negative news reports that have damaged the reputation of the chairman of Han's Laser and the company itself,thus forcing Han's Laser to respond to media queries and correct violations.The media supervision also produced significant results.Han's Laser set up a special rectification team,organized training for directors? supervisors and senior managers,supplemented the disclosure of relevant information,and hired big four accounting firms to conduct special audits.Through the rectification,the company's behavior has been standardized,information disclosure quality has been improved,and the market has also made a positive response to the rectification of Han's Laser.This paper believes that with the continuous development of the media industry,the media can play an active role in external governance and improve the information disclosure level of listed companies through administrative intervention mechanism,market pressure mechanism and reputation mechanism.In this regard,this paper also puts forward some Suggestions :(1)for the media,on the one hand,the media should actively exercise its right of public opinion supervision;On the other hand,media reports should be true and objective.(2)for listed companies,on the one hand,listed companies need to keep in awe of the market and investors and further strengthen selfdiscipline management;On the other hand,listed companies should face up to and actively accept media supervision.(3)for investors,on the one hand,investors should pay attention to all kinds of information;On the other hand,investors need to constantly strengthen their professional ability and judgment ability to make scientific and reasonable decisions.This case can supplement the relevant literature on media supervision and information disclosure of listed companies to a certain extent.It can also provide a certain reference for better exerting the role of media supervision and improving the level of information disclosure of listed companies.