Executive Equity Incentives, Real Earnings Management and Audit Fees Based on Big Data Analysis

Abstract

Big data analysis refers to the process of using a tool to analyze a large amount of target data to obtain corresponding conclusions. With the advent of the digital age, big data analysis is playing an increasingly important role in corporate governance. The agency problem is a common problem in corporate governance. The company can link the personal interests of the executives with the overall interests of the company by providing equity incentives to the executives. It can promote senior executives to work harder and better conduct behaviors that are beneficial to the company’s overall and long-term interests, thereby reducing agency costs, improving company performance, and promoting company development. However, executive equity incentives may also deviate from the original intention of the company’s shareholders, which will have a negative impact on the company. In order to satisfy the exercise conditions of equity incentives and realize their own interests, senior executives may make some behaviors that are detrimental to the interests of shareholders, which is not conducive to the company’s business growth. This article starts from a domestic and international perspective, this article summarizes the current scholars’ research on the relationship between executive equity incentives, real earnings management and audit fees based on different data, with a view to exploring new research directions and providing references for other scholars’ research.