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Motivation and Countermeasures of Financial Fraud in Listed Companies —A Case Study of Luckin Coffee
- 1 The university of Adelaide
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Abstract
The prevalence of financial fraud within publicly traded corporations has emerged as a significant concern within the field of auditing. In recent years, there has been an exacerbation rather than a mitigation of instances of financial fraud. Luckin Coffee is a domestic coffee brand that has emerged in the market, established by Qian Zhiya, who previously served as the CEO of Shenzhou Youchuan Group. Established in the year 2017, the organization achieved a notable milestone by being successfully listed on the NASDAQ stock exchange in 2019. In the year 2020, the disclosure of financial wrongdoing occurred. The discreet and innovative financial fraudulent practices employed by Luckin Coffee can serve as a valuable point of reference for the future advancement of firms. This paper presents an introduction to the fundamental notion of financial fraud and its associated theories. It proceeds to investigate the specific financial fraud process employed by Luckin Coffee. Additionally, it proposes recommendations for mitigating the risk of financial fraud in listed businesses, utilizing the Gone theory.
Keywords
Luckin coffee, Gone theory, Financial fraud
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Cite this article
Wu,Z. (2023). Motivation and Countermeasures of Financial Fraud in Listed Companies —A Case Study of Luckin Coffee. Advances in Economics, Management and Political Sciences,58,207-213.
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Volume title: Proceedings of the 2nd International Conference on Financial Technology and Business Analysis
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