Research On The Battle For Control Between Founders And Institutional Investors

Recently,with thedevelopment of national economy,institutional investors are increasing in number and expanding in the scale,which plays an important role in the process of enterprise development.There is a conflict between needs of institutional investors maximizing capital value and the long development goals of enterprise founders.What's more,the existence of private benefits made above two factors differ in enterprise management,thus resulting in the crisis for seizing control power.The control right contest will impact on enterprises' normal operation and development heavily.Therefore,the study on control right contest between the company founders and institutional investors is of great theoretical value and practical significance.The explorations on this issue are never stopped in theoretical and practical fields.While these researches are mainly static and focus on model construction and theoretical discussion,lacking case study and data analysis in real society,as well as the theoretical elaboration of China's specific conditions and questions.This also provides space for research.Targeting on Vanke contests for control right,based on the former experience and study results,this article firstly sorted the theories related to control rights.Secondly,it reviewed the whole process of control right contests between Vanke founders and institutional investors;explored the deep causes of control right contests in enterprises;thoroughly analyzed the impacts and consequences of control right contest between founders and investors.At last,it proposed suggestions and countermeasures for enterprises to avoid control right contests and protect enterprise control rights for founders.This article studied the control right contest between Vanke founders and the institutional investors,which on one hand provides certain reference for the researchers working on this issue,on the other hand provides the countermeasures for China's enterprises to avoid control right contests in their development process,put forward to some suggestions for the founders to protect enterprise control rights and self-benefits,create good social environment for entrepreneurs,stimulate entrepreneurial enthusiasm,and actively practice the concept of "Mass innovation,mass starting new business".