Intelligent Decision Support System Based on Data-Driven Optimization of Enterprise Investment Strategy

From 2015 to 2019, all listed A-share companies in Shanghai and Shenzhen (excluding the financial sector) Empirical research has shown that there is a close relationship between accounting quality and low investment efficiency of companies. The results show that companies with low accounting information quality often fall into ineffective investment behaviour, in particular the mutually supportive relationship between accounting information quality and overinvestment, while lower profits for companies with low investment activities have a relatively large inhibitory effect on insufficient investment. In addition, this Article also found that State-owned or State-controlled companies are more susceptible to profit margin regulation by introducing profit margin adjustments. It is noted that the influence of level and free cash flow reinforce each other, so based on the above research results, we suggest addressing a range of challenges, including taking accounting measures. Including strengthening the quality control of reports, improving information disclosure, optimizing the corporate governance structure, setting up a scientific investment decision-making mechanism; strengthening scientific and accurate business decision-making, reducing the incidence of inefficient investment behaviour and promoting sustainable and healthy business development.

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Publication Details

Published
2024-10-18
DOI
https://doi.org/10.1109/icdacai65086.2024.00063
Primary Topic
Auditing, Earnings Management, Governance
Type
article
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Intelligent Decision Support System Based on Data-Driven Optimization of Enterprise Investment Strategy

Jun Cai, Shuanghong Liu, Xiaoyu Zhou
Auditing, Earnings Management, Governance
article

Intelligent Decision Support System Based on Data-Driven Optimization of Enterprise Investment Strategy

Jun Cai, Shuanghong Liu, Xiaoyu Zhou
article en

Abstract

From 2015 to 2019, all listed A-share companies in Shanghai and Shenzhen (excluding the financial sector) Empirical research has shown that there is a close relationship between accounting quality and low investment efficiency of companies. The results show that companies with low accounting information quality often fall into ineffective investment behaviour, in particular the mutually supportive relationship between accounting information quality and overinvestment, while lower profits for companies with low investment activities have a relatively large inhibitory effect on insufficient investment. In addition, this Article also found that State-owned or State-controlled companies are more susceptible to profit margin regulation by introducing profit margin adjustments. It is noted that the influence of level and free cash flow reinforce each other, so based on the above research results, we suggest addressing a range of challenges, including taking accounting measures. Including strengthening the quality control of reports, improving information disclosure, optimizing the corporate governance structure, setting up a scientific investment decision-making mechanism; strengthening scientific and accurate business decision-making, reducing the incidence of inefficient investment behaviour and promoting sustainable and healthy business development.

Shanghai University (CN), Wuhan Donghu University (CN)
Openalex Percentile: Top 57%
Auditing, Earnings Management, Governance
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Intelligent Decision Support System Based on Data-Driven Optimization of Enterprise Investment Strategy — Jun Cai, Shuanghong Liu, et al. · (2024) | TGRS Research Map | TGRS