Adoption of Anglo-American Models of Corporate Governance and Financial Reporting in China

Adoption of Anglo-American Models of Corporate Governance and Financial Reporting in China, In the context of globalization national economies have become increasingly interdependent, and internationally acceptable corporate governance and accounting practices are diffused across different jurisdictions. This monograph critically examines how globalization has affected the adoption of Anglo-American models of corporate governance and financial reporting in China, the largest transitional economy. More specifically, it examines whether measures taken by the Chinese government, including the adoption of the International Financial Reporting Standards the introduction of independent directors and audit committees, and the strengthening of auditor independence, are likely to improve the quality of financial reporting of Chinese listed companies. The following research question is addressed: What issues are involved in adopting Anglo-American models of corporate governance and financial reporting in China? In contrast to a significant number of prior studies that have focused largely on quantifiable and narrowly focused theoretical approaches, this monograph adopts a holistic perspective. A comprehensive theoretical framework based on institutional theory which incorporates international influences, domestic influences, and intraorganizational dynamics was developed to provide richer insights into the issues under investigation. This monograph provides a holistic examination of convergence with internationally acceptable corporate governance and accounting principles and standards in China by taking into account the influence of political, legal, economic, social, cultural, and historical factors on corporate governance and accounting practices.