Interest Protection Of Shareholders Under Dual-class Share Structure

China's company law provides that the same shares with the same rights,one share one vote,do not allow dual ownership structure.However,there is a risk that control rights will be diluted in the listing and financing process of many new entrepreneurial enterprises in China.The founders and their teams want to ensure their control rights over the company,so many new entrepreneurial enterprises have a demand for dual ownership structure and choose to go public overseas.For example,baidu,jd.com,alibaba and so on.The result has been a flight of capital out of China from better-developed Internet companies.Based on the current situation of China's market development and the requirements of the legal system,whether to introduce dual ownership structure in China in the future needs to be further discussed.In order to explore the impact of dual-class share structure on the interests of different types of shareholders,this paper does not directly divide shareholders into major shareholders and small shareholders according to the proportion of shares held by shareholders.Instead,according to the heterogeneity of shareholders,the shareholders are divided into three categories:operational shareholders,investment shareholders and speculative shareholders according to the differences in investment risks,investment cycles and investment preferences of shareholders.From the perspective of shareholder heterogeneity,this paper analyzes the protection of shareholders' interests under the dual ownership structure.This paper will take alibaba group which adopts this ownership structure model as an example,and analyze the impact of this ownership structure on the interests of various types of shareholders based on the relevant data of alibaba in 2015-2017,and then propose corresponding protection mechanism on how to protect the interests of small and medium-sized investors.China still needs to make continuous improvement in the construction of legal system to ensure that the interests of minority shareholders who are disadvantaged in the power of shareholders are not harmed,so as to promote the implementation of dual ownership structure in China.At the end of this paper,according to the economic development of China's market,it will also put forward Suggestions on how to establish the dual-class share system,so as to promote the successful listing of China's excellent enterprises in the form of dual-class share structure.