Mbo Study Of The State-owned Enterprises In China

MBO, Management Buy-outs, is the process that the managers can be shareholders by purchasing the share capital. In China, we can learn the theory and practice of MBO. The article explores the Theory of MBO and practice of MBO in China. Based on comparison between MBO Theory and Modern Enterprise Theory, the author especially studies the relevant problems caused by MBO in country-owned enterprises' reform. Accordingly some measures are put forward. Overall the paper is organized into two big parts.The first part reviews some MBO theories and analyzes MBO's background in developed country and in china. In addition, the comparison between MBO and Modern Enterprise Theory is researched. Finally some MBO's advantages and disadvantages to the country-owned enterprises' reform are talked about. The second part especially analyzes the juridical problem, pricing problem, financing problem and information announcing problem when MBO is applied in the country-owned enterprises' reform. At the same time, some suggestions and measures are put forward.The article takes use of modern ownership theory and deputation theory. Especially the deputation theory is through the whole article. In the way of researching method, the author briefly adopts the comparing method and proof method. On the one hand, the author transversely analyzes the difference of MBO between inside-country and overseas. The author also studies the relation among MBO, deputation theory, incentive and constraint theory, and entrepreneur theory. On the other hand, the author summarizes the practice of MBO in china in recent years and further explores how to put MBO into use in the reform of country-owned enterprises.