Clan Culture, Family Business Inheritance And Corporate Information Qualit

Since the reform and opening up,China’s private economy has developed rapidly and become an important part of the national economic system.Family enterprises are the main force of the private economy.According to the report on the inheritance of Chinese family enterprises in 2016,the proportion of Chinese family enterprises in private enterprises is as high as 80%,which plays an important role in stimulating the economy,improving people’s livelihood and expanding employment..With the older generation of private entrepreneurs gradually entering the middle-aged and elderly period,family enterprises have to face the inheritance dilemma of who will take over and how to take over.At the micro level,the success of inheritance affects whether a family’s basic business can last forever.At the macro level,the arrival of large-scale inheritance tide has an important impact on the development of private economy and even the development of the whole national economy.By combing the relevant literature at home and abroad,this paper divides the inheritance behavior of enterprises into two ways: inheritance to family members and inheritance to professional managers,and empirically studies the relationship between clan culture and the choice of enterprise inheritance methods,as well as the impact of the choice of enterprise inheritance methods on the quality of enterprise information disclosure and enterprise information transparency.Combined with the theories of new economic sociology and asset specificity,the various "relationships" accumulated by the founders of family enterprises in the process of enterprise establishment and development,such as human resources,business relations and political and business relations,are a unique special asset.Compared with professional managers,family members are more likely to receive this kind of special assets.At the same time,with the influence of clan culture,the options inherited to family members are more favored by the founders of family enterprises.Compared with family members,it is more difficult for professional managers to accept the social capital such as the founder’s political and business relations and business relations after entering the family business,which limits the ability of professional managers to conduct relationship trading.To some extent,the decrease of profits from relationship trading promotes professional managers to move from relationship trading market to open market.In order to obtain lower debt financing costs and equity financing costs in the open market,professional managers who take over family enterprises may be more inclined to improve the quality and transparency of enterprise information disclosure.Based on the above theoretical analysis,this paper take the listed family enterprises inherited in China’s capital market from 2004 to 2020 as samples,constructs the corresponding variables,and use PROBIT and DID regression models.The following conclusions are drawn:(1)in areas with stronger clan culture,founders are more inclined to inherit family enterprises to their internal family members.(2)Compared with inheriting to family members,inheriting the family business to professional managers can improve the information disclosure level of the enterprise.At the same time,this paper tests the robustness of the empirical results from three aspects:changing the measurement indicators of the explained variables,expanding the sample observation interval and dealing with endogenous problems.The test results still support the basic research conclusions.The theoretical significance of this paper lies in: Based on China’s clan culture for thousands of years,combined with the theory of new economic sociology and the theory of special assets,this paper understands and explains the choice of inheritance methods of family enterprises from this perspective,and explains the differences in the impact of the two inheritance methods of family enterprises on the quality of enterprise information,It enriches the literature of family business inheritance research and enterprise information transparency research.The practical significance of this paper is that,under the realistic background of the upcoming wave of inheritance of family enterprises in the private economy,the private economy occupies an important position in the national economic system.With the prosperity of the market economy,family enterprises have become a force that can not be ignored in the economy and society.Due to the close implementation time of inheritance behavior,the inheritance of this behavior at the micro enterprise level may form a joint force and affect the national economic development at the macro level.The practical significance of this paper is that as a literature with the theme of family business inheritance,it hopes to guide the practical practice of family business and help understand and explain the mode selection and subsequent impact of family business inheritance behavior.