MBO GAME-Cooperate, Competitive And Performance

This thesis takes the main 2 players of MBO, the owners and the managements, as the object of research, on the basis of the theory as well as the practice, to make the concrete analysis to the MBO mechanism and MBO practice in ChinaIn the thesis the foundation of MBO, including the theory of Information Asymmetry and the theory of Arbitrage, are first introduced It is pointed out because the information obtained by the owners and mangements is asymmetrical, the enterprise value is appraised differently. Thus arbitrage opportunity to the enterprise value occurred, which is the basic reason that MBO is brought The basic goal through MBO, is to maximize the player's return of investment and to distribute the outcome reasonable between the players. The second, the MBO history, the popular hypothesis of MBO as well as the MBO operation program are introduced The Third, the relations between the players are also pointed out, together with the theory of Game Theory, to analyze the MBO mechanism, which are cooperative and competitive. The cooperative game, uncooperative game, reorganization and operation are specialty analyzed Finally, the Regulation is take into consideration. The MBO operations in china are compared with that in foreign countries and lots of problems are round But as a special tool in the progress of State-Owned Enterprises reforming in our country, although the MBO mechanism is imperfect, it will booms and play a significant role in the future. To solve the problem and develop MBO in practice, the suggestion are also give hereby. The 4 major points of the thesis are as follows:1. MBO rationale: Information Asymmetry is taken as the rationale. The information will be asymmetrical obtained, which causes the enterprise's value appraised differently by different players. If the appraised enterprise value by managements is bigger than that by the owners, the oportunity of arbitrage can be produced. This is the basic reason to encourage MBO.2. MBO goal: From player's eyes, the most important goal through MBO is to obtain the biggest interest for oneself There are 2 ways to obtain the interest Creation or distribution. The enterprise's value is to be heavily enhanced through MBO. The second goal is to distribute the return reasonable between players.3. MBO operation methods: the MBO operation methods including 3 aspects, cooperation, competition and operation after MBO. To create profit players need to cooperate each other. To distribute the outcome players will compete with each other. After all, the profit could be created by the better operation by the managements after MBO. In other words, the MBO operation, is participates in the side cooperation, the competition and the operation.4. The main problems occurred during the development of MBO in China, have direct relation to above 3 aspects essentially, and must be solved from the above aspects. The suggestions Include confirming the MBO main body, establishing the standard enterprise' value appraisal system, establishing special auditing system and consummation of laws and regulations and so on.