Internal Governance Mechanisms, Financial Reporting Quality and Capital Market Economic Consequences: A Case Analysis of Didi and ST Dasheng

DOI

10.2991/978-94-6239-719-4_49How to use a DOI?

Keywords

Internal Governance; Internal Control; Financial Reporting Quality; Capital Market Efficiency; Economic Consequences

Abstract

This paper takes Didi Global Inc. and ST Dasheng as case samples to examine how internal governance mechanisms (internal control, management incentives, digital transformation) affect financial reporting quality and further generate capital market economic consequences. Grounded in principal-agent theory, information asymmetry theory and signaling theory, this study finds that sound internal governance significantly reduces opportunistic behavior, improves the reliability, relevance and timeliness of financial information, and enhances capital market efficiency. By contrast, internal governance defects lead to serious accounting information distortion, regulatory penalties, market value shrinkage, rising financing costs and investor losses. This study integrates internal governance, financial reporting quality and capital market consequences into a unified framework, enriches relevant research in emerging markets, and provides practical guidance for listed companies to strengthen governance and information disclosure.

Copyright

© 2026 The Author(s)

Open Access

Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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TY  - CONF
AU  - Wenrui Ma
PY  - 2026
DA  - 2026/07/09
TI  - Internal Governance Mechanisms, Financial Reporting Quality and Capital Market Economic Consequences: A Case Analysis of Didi and ST Dasheng
BT  - Proceedings of the 2026 6th International Conference on Enterprise Management and Economic Development (ICEMED 2026)
PB  - Atlantis Press
SP  - 424
EP  - 431
SN  - 2352-5428
UR  - https://doi.org/10.2991/978-94-6239-719-4_49
DO  - 10.2991/978-94-6239-719-4_49
ID  - Ma2026
ER  -