GEM Listed Companies' Internal Control Effectiveness Based on Grey Incidence Analysis

The establishment of GEM can effectively solve financing channels of small and medium-sized enterprises, and further perfect capital market structure in our country. The strength of the internal control ability, however, has a direct impact on the healthy development of the GEM listed companies. Based on the principal-agent theory, corporate governance theory, system theory, applying the grey incidence analysis method to study the GEM listed companies internal control effectiveness. It has a realistic significance on the further enrichment of GEM listed companies' internal control effectiveness theory, the improvement of internal control ability, and the promotion of the healthy development of the GEM listed companies.