MG Corporation

MG corporation, one national enterprise of H city, enjoys well assets, outstanding business power, and great future. But with economic development, it became one of the goals of the national capital withdrawal, according to the property reform of national corporations and the internal problems of MG corporation.National property (capital) withdrawal from some national corporations, which was called the property diversity of national corporation reform, is essentially the actions of the investors. But from the actual experience of the national corporation reform, those actions were most likely taken by the government. To carry on the national property withdrawal is the main goal of MG corporation reform, the property department has sold the excellent assets of MG corporation one by one publicly, which is called "pretty girl marries first". Subsequently, the enterprise faced up to "death because of policy", the employees face up to layoff, some of them appeal to the higher authorities for help, and some even block the reform.The national capital (property) withdrawal is a great and complex social system, affected by many factors. Its goal is to build modern enterprise institution, then to build truly socialistic market economy, and at last to improve economy. Therefore the relationships between reform, development, stabilization and others should be treated carefully in choosing adequate method of withdrawal, to improve healthy development of Chinese economy by reforming, with social stabilization.From the view of development in this case, such relationships between reform, development, stabilization and others were dealt carefully, analyzed by Porter competition model, the withdrawal manner was chosen strategically by integrating effectively the internal and external resources of Mg corporation, to built up a new system for the next stage after reforming, to realize "3 wins" among government, enterprise and employees, and finally to achieve goals as development, stabilization and innovation in the enterprise reform.