The Case Analysis Of Private Little Swan Of Midea Group

Privatization,as a basic business market capital operation method,has developed a complete set of rules when the rules were determined in the early days of the capital market,and has been implemented for a long time and widely in Europe,America,Japan and Hong Kong.However,China's privatization process was only started under the policy of split shareholding in 2005.Since 2010,due to the vigorous development of China's capital market,the frequent occurrence of risks in overseas capital markets,and the multiple impacts of undervalued market values,there have been more concentrated Cases of privatization of listed companies.This article selects the leading domestic appliance industry Midea Group and the domestic drum washing machine leading company Little Swan as the research object.By analyzing the motivation of Midea Group's privatization and the performance of Midea Group before and after privatization,and combining its success factors to summarize the inspiration,hope to a certain extent,it can provide experience and reference for listed companies willing to privatize in the future.This article mainly discusses the case of Midea Group's privatization of Little Swan.At the beginning of the article,it briefly describes the research background and research significance of this article,from the privatization of listed companies,privatization motivation and privatization impact in terms of countermeasures and other aspects,the domestic and foreign literatures are reviewed.Secondly,it introduces both parties involved in privatization and analyzes the motivations for privatization in light of the industry background.It is concluded that integrating internal resources,upgrading management models,increasing market share,enterprise development needs,expanding synergies,and solving potential industry competition and associations the transaction was the main reason for its privatization,and it reviewed the process of Midea Group's privatization of Little Swan.Next,analyze the operating performance of Midea Group after privatization from four aspects: slightly enhanced operating capacity,stable and enhanced profitability,gradual growth in capacity,and gradual improvement in solvency.Then,it is concluded that the factors for its success in privatization are to clearly seize market share as the company's development direction,choose Little Swan with excellent privatization capital structure,and save privatization costs.At the same time,it points out that there are corporate culture conflicts,brand integration problems and risks in the privatization process Cope with the problem of insufficient ability.Finally,this paper summarizes the success factors and problems based on case analysis,and gets the following enlightenment: Before the privatization,the listed company should clarify the direction of future development,at the same time,the target company must be correctly selected,and the best time should be selected when preparing to implement privatization.After the transformation,we must strengthen culture,brand integration and internal coordination,and always pay attention to policy guidance in order to deal with risks.