The Leagl Research Of The Corporation’s Horizontal Competition

The listed companies, as the most development advantage group in China’seconomy, is the source of the capital market investment value. However, in China, theproposed IPO of listed companies as well as the asset restructuring of listedcompanies, asset acquisitions and refinancing requirements are all required that thereis no horizontal competition. Horizontal competition problems has become the focus ofsecurities regulation and corporate governance. In the paper, the author, taking theregulation of the laws and regulations about the horizontal competition as the researchobject, by applying comprehensive hermeneutic method, the method of historicalanalysis, comparative analysis, case analysis, etc., supports that there is a reasonableside of strict rules and regulations of the competition, but also some defects. Based onthis, and the discussion, the improvement of the system of competition laws isproposed. This article except introduction and epilogue, there are three chapters:Chapter I legal interpretation of competition relationship competitionrelations and competition of the judgment are important part of horizontal competitionrelationship. In this part, the author compares and analyzes the characteristics of thethree definitions by the China securities regulatory commission, stock exchange, andscholars. From the main body and business condition of competition scope, the writerjudges who is the real competition, which expounds it to later as foreshadowing.Chapter II analysis based on regulation of competition law This chapter is devided into three parts. Firstly, stakeholder theory related is proposed, and it alsopoints out that the existence of the relationship between competition is will damagethe interests of stakeholders, especially small and medium shareholders’ interests, atthe same time, it claims that the theory is the legal basis of studying the law system ofthe competition relationship. Secondly, from the competition of capital markets, theindependence of listed companies, and adverse impacts on the securities marketregulation, to prove that competition for legal regulation is reasonable. Again, it ispointed out that strictly regulate competition also has legislative defects. On the onehand, it is for the difficulties in the application of overseas distributors, on the otherhand, due to the inland and Hong Kong law regulation of competition issues there is adeviation, which leads to the existence of loopholes in the law, a legal way around,affects the authority of legislation.Chapter III perfect suggestion for competition legislation In this part after thefirst two chapters, perfect suggestions for the legislationare proposed from threeaspects. First, due to legislative defects of legal regulation of the competition andlegal effect, the author suggests that it should be appropriate restrictions oncompetition, rather than absolute prohibition. Next, in view of the controllingshareholders, actual controllers have controlled the listed companies, competitionproblems governance mechanism should be on the point of the controllingshareholders, actual controllers on the regulation. Again, thanks to the competitionproblems of investors’ losses on the lack of effective relief way, the author proposes toperfect the civil relief system by defining the civil liability of the party to supervisethat the competition will solve the problem of the existing competition as soon aspossible and avoid potential competition problems; Also provide effective way toprotect their rights (the majority of small and medium-sized shareholders).