Research On Media Attention,Managers’ Risk Preference And Investment Efficiency Of Listed Companies

Investment efficiency is an important index to measure the investment effect of enterprises.Whether the investment is efficient or not has an important impact on the development of enterprises.However,the situation of inefficient investment of enterprises is still common in real life.With the deepening of supply-side structural reform,how to improve the efficiency of enterprise investment is still a key issue repeatedly emphasized by the state,and also an urgent issue to be solved now.The issue of investment efficiency has also attracted media attention.The media is widely recognized as an important influence factor for external supervision and restraint of companies.So what is the impact of media attention on the investment efficiency of listed companies,and whether it can effectively curb the phenomenon of inefficient investment? Relevant studies believe that media attention can play an impact on investment efficiency.The influence of media attention on investment efficiency can be amplified by the role of people.Managers in decision-making positions will play an important role in the relationship between media attention and investment efficiency.Some scholars have found that managers’ risk preference will have an impact on the company’s operating results.It can be believed that there is some relationship between media attention,managers’ risk preference and investment efficiency,but there are few researches on the relationship among the three.Therefore,this article finally chooses to focus on the impact of media attention on investment efficiency of listed companies,and innovatively studies the moderating effect of managers’ risk preference as a moderating variable between that two variables and analyzes its mechanism.In this article,the relevant literature is firstly sorted out,and the research hypothesis is proposed based on principal-agent theory,information asymmetry theory and investor sentiment theory.A-share listed companies from 2016 to 2019 were selected as research samples and selected research variables.Secondly,the natural logarithm of media coverage obtained by Python plus 1 is used to represent the variable of media attention.On the basis of a large number of scholars’ relevant literature,the variable of risk preference of proportional representative managers of risk assets of listed companies is selected.According to Richardson model,residual value greater than 0 represents over-investment,and residual value less than 0 represents under-investment.Then,based on the main variables mentioned above and some control variables,the research model of this article was constructed,and statistical tools such as Stata12 were reasonably used to empirically verify the hypotheses proposed.The robustness test was carried out by using the Heckman two-stage regression model,and then the influence of positive and negative reports on over-investment and under-investment was further analyzed.Finally,the research conclusions of this article are drawn:(1)media attention is negatively correlated with over-investment and under-investment of listed companies.(2)The stronger the risk preference of managers,the weaker the restraining effect of media attention on over-investment of listed companies;The stronger the risk preference of managers is,the more media attention will inhibit the under-investment of listed companies.(3)Compared with positive reports,negative reports play a more significant role in the above conclusions.Based on the final research conclusions,the following suggestions are put forward:media should uphold the role of external supervision of enterprises,be responsible for the objective and fair content of the information provided,and create a green information communication channel;Managers of listed companies should be aware of the possible impact of their risk preferences on investment efficiency and avoid possible inefficient investment results on this basis.Listed companies should take the initiative to use the power of media attention to guide the enthusiasm of improving investment efficiency within the company.