Research On The Motivation And Effect Of Gree’s Controlling Transfer

In the deepening stage of my country’s mixed ownership reform,in order to further improve the management and operation efficiency of state-owned enterprises,and stimulate the production and operation vitality of state-owned enterprises,many competitive state-owned enterprises have undergone privatization transformation.The state no longer holds control and the control of the enterprise is transferred.This article takes Gree’s control transfer event as the research object.According to the announcement issued by Gree,Gree officially completed the share transfer in December 2019,and the company changed to no actual controller,because Gree’s former state-owned major shareholder Gree.After the group transferred its 15% shares of Gree to Zhuhai Mingjun,the new shareholder of Gree,it will no longer be the controlling shareholder of Gree.The research on this new corporate governance structure can enrich my country’s corporate governance theory,and the research on the motivation and effect of Gree’s control transfer can also provide a reference for other state-owned enterprises to promote mixed ownership reform.This article first uses the literature research method to sort out the literature on the motivations and effects of the transfer of control rights by enterprises,and concludes that there are three motivations for most enterprises to transfer control rights.One is to solve the inefficient management of enterprises,and the other is politics.The environment affects the transfer of corporate control rights.The third reason is that the government aims to increase revenue.The effects of the transfer of corporate control rights have two aspects.Then use the case study method to select Gree’s control transfer event as the specific case analysis object,to study the motivation and effect of its control transfer,and then combine the literature review and related theories to analyze the control transfer of Gree.The motivation and the effect of control transfer on Gree’s corporate governance and performance.Finally,the event research method and Du Pont analysis method are used to analyze in detail the market response and corporate performance of Gree after the transfer of control rights.This paper analyzes the transfer of control rights of Gree:(1)The motivation of the transfer of Gree’s control rights is mainly analyzed from three aspects.The specific transfer of control rights is due to Gree’s insufficient development in certain fields,so it needs Improve its operating efficiency;from the perspective of policy impact,the state-owned major shareholders closely follow the mixed-ownership reform policy,transfer state-owned shares and lose actual control rights,but at the same time they have obtained generous rewards;Gree has excellent entrepreneurial human capital,etc.;(2)Gree’s main effects on corporate governance after the transfer of control rights are:the transfer of control rights has transformed the company into a structure without actual controllers,which actually greatly enhanced the actual control rights of the entrepreneurs over the company.The transfer of control rights introduces Zhuhai Mingjun,which has a significant role in promoting the development strategy of the enterprise;(3)Using the event research method and Du Pont analysis method to analyze the market response and corporate performance after the transfer of control rights of the company,and found that Gree.The market response of electrical appliances to the transfer of control rights is positive,but it has a slight negative impact on corporate performance.