Study On The Market For Corporate Control

The quality of corporate operation is the basement for the capital market healthy development. The efficient corporate control does well to upgrading the quality for corporate operation, increasing the efficiency for the resources allocation, promoting the value for the capital. The corporate control is the decision right for important management and order right for the managers of the firm through voting rights. The control holder can make the corporate operate as set orbit and make gain through the power. The control can bring benefit for the holder and it is valuable. As valuable and charitable, corporate control is the object of competition for the holder and grabber. Continuous transaction of corporate control form the special market for the corporate controlThe corporate control market which is the big part of the outside governance system is one key part for corporate governance research .There are so many articles about the control market and the comprehensive thesis had been built. In our country, the research about the control market is a new one which had began some years ago. Most of the research set the target on the merger and acquisition and take little care of control market. In fact the control market is but one part of the market, not all of the market. Some years ago the transaction, transference and grabbing had happened. The merger & acquisition, proxy competence upgraded the corporate governance and improved the capital efficiency. Compared with the market abroad the control transaction had not been regulated. The activities which do harm to formation of the market and requirements of objective, public and open character always become out. The regulations of the market are also lack. In one word the market in our country istargeting toward a good control market. On these basements, this article made a comprehensive review about the market from the followed aspects:The article made a deep review on the character of the firm and pointed out that the character of the firm is a continuous operating stage which moved by the corporate control allocation contract. With the core of the corporate control this article analyzed the origin of the control, the power of the control, the relationship between the control and the holding stocks, and then set the base for the control market. Since the resources are able to be transacted and are scarce, the essay concluded and discussed thoughts and theories about the market. Then the article put forward that the occurrence, development and function of the corporate control market is the outcome of the economic development and inter system coaxing including law.Followed by the discussion above, the article probed into the core of the corporate control market. Firstly, the author made an analysis on the formation and function mechanism of the control market. Then the author focused on the M&A, proxy contest, stock trust and the other control running ways for the control movement. On the macro analysis base, the article made a deep excavation about the buyer, the seller, and the object on the market which are the main components of the control market. The article also paid intention on the activities and role and problems faced for government, mediatory institutions, and the grabber, the holder of the control and the other stakeholders. At last the author drew a conclusion that different partner and various factors have played different role itself and probed the market into better development and play better commonly.With the discussion above, the author turned the focus on the price system if the corporate control market from the aspects of price and value theory and the theory of need and supply. Especially the article paid attention to the pricing system and mechanism on the stated owned control transference. The author insisted that the bargaining system and marketing system were troubled in some fields and made a direction to prove them. The pricing system reflects the efficiency of the control market. Efficiency is the key problem for market. In some words whether the marketis efficient or not will decide whether the market exist of disappear. With the efficiency this article observed from a new angle which is so different that past practical manner. The author started the analysis from the flexibility, price elasticity, cost and the other factors which do heavy influence the efficiency on the control market. Under the observation the author made a conclusion that our control market is not so efficient.We know that whether the market operates smoothly or not depends on the regulations and rules. Our control market is a new one which is one part for the capital market and stock market and facing with so many problems. In order to make the control market operate smoothly and run orderly, there is so much work to do. Among these work, system construction and regulations must be set up. After reviewed those regulations and rules toward the control market, the article made some suggestions.