关键词: 党组织嵌入, 民营企业, 盈余管理

Abstract: Party organization embedding means that enterprises set up Party organizations and embed Party organizations into enterprise organizational structure as formal institutional arrangements. The Party plays an important role in guiding and promoting economic development. At the macro level, the Party influences the formulation and implementation of the government’s economic guidelines and policies with its ruling position, while at the micro level, the Party’s role is realized by embedding Party organizations in enterprises. Therefore, the Party and the government always attach importance to the construction of Party organizations in enterprises and continue to promote the establishment of Party organizations in enterprises. The purpose of this policy is to improve the influence of Party organizations on enterprises. In this context, the Party organization has become a normal company management system, which has a non-negligible impact on enterprise behavior. In recent years, the academic circle has gradually paid attention to this unique governance system, and conducted a series of studies on the governance effect of Party organization embedding.
Private enterprises are an important part of our socialist market economy and an important link in grassroots Party construction. With the development of private enterprises and the promotion of Party building in private enterprises, Party organizations were established in 1.585 million legal entities of private enterprises (data came from the 2018 Intra-Party Statistical Bulletin of the Communist Party of China). The embedding of Party organizations in private enterprises has also become common. However, due to the different nature of enterprises, the function of Party organization in private enterprise has its particularity. Starting from the financial perspective, this paper takes the influence of private enterprise embedding Party organization on earnings management as the core issue, and further explores the governance effect of private enterprise embedding Party organization.
Taking private listed enterprises from 2008 to 2018 as research samples, we manually collect the data embedded by the Party organization of enterprises, calculated the earnings management data of enterprises(DA) by using Jonse model, and carry out the research by using fixed effect model. All the financial data in this paper come from CSMAR database and RESSET database. The results of the empirical research show that the establishment of Party organizations in private enterprises can significantly reduce the level of earnings management, and this conclusion is valid for both positive and negative aspects of earnings management. In order to ensure the robustness of the research results, we test the robustness by adjusting the explained variable calculation method, multi-period DID model, instrumental variable method(IV), propensity score matching(PSM) and other methods, the results shows that the conclusions of the paper are robust.
In order to explore the system by which Party organizations influence corporate behavior, this paper makes a hypothesis based on the existing literature that Party organizations can reshape corporate culture. The Party organization plays a leading role in the culture of the enterprise. It can introduce the advanced culture of the Party into the enterprise through various activities and influence the enterprise behavior with the new corporate culture. On the one hand, this influence is reflected in reducing the risk preference of the management, on the other hand, it is reflected in improving the quality of the internal control of the enterprise, and finally in the financial data of the enterprise. In this paper, we use the mediation effect model to test the hypothesis and found that it is valid.
In order to analyze whether there are differences in the roles of Party organizations under different conditions, this paper conduct a group test according to the heterogeneity of conditions such as the stability of Party organizations, cultural environment, external supervision level and company characteristics, and expand the research results. In addition, this paper further explores the real earnings management as the explanatory variable, and the results show that the role of the Party organization is still valid for the real earnings management.
Finally, based on the research of this paper, suggestions are put forward for enterprises to improve the governance system and enhance the standardization level of the market, so as to provide guidance for practical activities.

Key words: Party organizations embedding, private enterprises, earnings management