PurposeChina has recently introduced a new audit law that aims to increase the scope of audit supervision and raise the standards for preventing risks in auditing national public projects. This paper presents a systematic research study on the causes of audit risks in national public projects and discusses the process by which these causes contribute to the emergence of such risks. Furthermore, the paper investigates the core risk sources in various types of national construction project audit. This paper aims to provide theoretical support for auditors of national construction projects in risk avoidance when conducting audits.Design/methodology/approachIn this study, the authors carefully selected five national public audit projects from China and performed a comprehensive analysis of 85 relevant audit documentation. The textual analysis was conducted using Nvivo12 software, and the grounded theory approach was adopted for generalization purposes.FindingsBased on the research results, the findings suggest that there are five key causes contributing to the audit risk of national construction projects: professional competence, risk awareness, management capacity, level of attention and deliberate fraud. The most critical factor identified is management capability, with 59.93% of the data supporting this view. This conclusion was based on an analysis of state-owned enterprises, administrative organs and public institutions. Building upon this, a framework titled “the mechanism of audit risk factors with management capability as the core” was constructed.Originality/valueThis paper employs qualitative analysis methods to examine national construction projects in China, contributing new literature to the theoretical study of audit risk management. The article also provides practical recommendations for auditors on how to mitigate audit risks and improve the quality of audit services in national project governance.
Due to the externality of green innovation and the profit-seeking nature of capital, heavy polluting enterprises usually lack effective incentives for green innovation and ignore the long-term sustainable development. In order to explore the impact of analyst coverage on the green innovation, this paper establishes a fixed effects model using panel data of heavy polluting listed enterprises in China from 2015 to 2021. We find that the analyst coverage can significantly improve the green innovation of heavy polluting enterprises. Compared with state-owned enterprises, analyst coverage has a more significant improving effect on green innovation performance in private heavy polluting enterprises. Compared with enterprises in central and western regions, analyst coverage can better promote green innovation of heavy polluting enterprises in eastern regions. This study provides empirical evidence for the guiding role of analyst coverage on the sustainable development of heavy polluting enterprises.
scite is a Brooklyn-based organization that helps researchers better discover and understand research articles through Smart Citations–citations that display the context of the citation and describe whether the article provides supporting or contrasting evidence. scite is used by students and researchers from around the world and is funded in part by the National Science Foundation and the National Institute on Drug Abuse of the National Institutes of Health.