A Study Of Business Reengineering Of China Public Company In Dominance Right Change

Looking through development course of China security market, we will find that business reengineering has been becoming a widely involved and deeply affecting economic activity. Moreover, on larger scale and in newer manner, it is developing vertically and deeply. As a most complete, most advanced, and dominaiit manner in business reengineering, business reengineering of dominance right change is most noticeable. From theoretic angle clarifying its concepts and essence, from positive angle analyzing its background and models, and from development angle discussing its problems and regulations, the author thinks studying business reengineering of China public company in dominance right change is a very important topic theoretically and practically. This paper consists of the following 4 parts: Part one: to study general theory of business reengineering of public company in dominance right change. In this paper, the author thinks although business reengineering seems to be resource reorganization, in itself it is mobilization of enterprise property. It is change of enterprise property relations, law relations and relevant administrative dominance right caused by the former changes that consist of inherent attributes of business reengineering. Business reengineering is the outcome of market economy development at some phase. It is advantageous to adjust industrial structure, to better resource reengineering and to shape rational economies of scale. And it is advantageous to strengthen management, to enhance competitive ability of enterprise, and to promote development of entrepreneurs. Through discussing views and experience overseas, the author analyzes five tides of business reengineering in U.S. within past 100 years. III Part two: to study background, intents and models of business reengineering of China public companies in dominance right change. According to this paper, business reengineering of China public companies in dominance right change has great time background. Through discussion of background, we can see profound historic and practical meaning of system creativity. The reason for its occurrence, from the view of author, is effect of capital-attracting-capital law. It is also inevitable outcome of market-competition law, and imperative need of improving profits of public company, and means for pursuing security-market-financing function. There are two basic sorts of business reengineering in dominance right change: one is pattern of offer, the other is pattern of contract. On the basis of different ways of executing business reengineering in dominance right change, we can divide it into ten models: free transfer of state-owned shares, paid contract transfer of state-owned shares, contract transfer of legal person-owned shares, auction of legal person-owned shares, contract transfer of both state-owned shares, contract transfer of both state-owned shares and legal person-owned, indirect acquisition, joint venture, debts transferred into shares, acquisition of shares at market price, application of both contract transfer and acquisition of offer, as well as the vote trust and trust acquisition. Compared to business reengineering of acquisition or merger in mature market-economy country, business reengineering of China public companies in dominance right change has its characters: in fact dominance right change is mainly transfer of state-owned shares or legal person owned. In most cases, business reengin...