Research On The Conflict Of Control Rights Of AB Company And Its Governance Under The Background Of Enterprise Transformation

With the continuous deepening of China’s economic system reform,Government-affiliated institutions born in the era of planned economy are increasingly unable to adapt to the development of socialist market economy.In order to better meet the social needs,meet the public welfare service needs of the people,and achieve the overall goal of comprehensively deepening reform,the state has formulated and issued a reform plan according to the current situation and development plan of public institutions.According to this plan,some public institutions are divided into public institutions engaged in production and business activities,and then transformed into enterprises through restructuring to realize independent operation and be responsible for their own profits and losses.However,after the transformation of some public institutions into enterprises,due to various differences and contradictions,some public institutions have a conflict of corporate control with newly introduced investors,which has damaged the interests of shareholders and employees and failed to achieve the expected effect of the reform,which is what the relevant parties do not want to see.In order to study the problem of control conflict in the context of enterprise transformation and restructuring of public institutions,this thesis takes AB company as the research object,uses the method of literature analysis,finds the literature related to the company’s control and enterprise transformation,and combs the relevant theories and concepts such as control,control conflict,information asymmetry theory,principal-agent theory,stakeholder theory and so on.Using the method of case analysis,this thesis analyzes the industry background,shareholders and the process of enterprise transformation and restructuring of AB company in detail,and summarizes the shortcomings of controlling shareholders and public institutions.After analysis,AB company has three manifestations:inconsistent interest objectives,management authority conflict and information asymmetry.The comparative analysis method is used to analyze the impact of control conflict on business consequences.After analysis,it can be seen that the conflict of control right does have an adverse impact on the company’s performance.It is found that the conflict of control right does have an adverse impact on the company’s operation,and the interests of shareholders and employees are damaged.Relevant analysis also confirmed that the conflict of control rights promoted the improvement of the company’s management level to a certain extent.Through research,it is concluded that:1)the opportunistic tendencies of shareholders are the premise that leads to the occurrence of control conflicts.(2)Imperfect investment agreements are potential factors that give rise to conflicts of control.(3)The incompleteness of the corporate governance system is a key factor in the conflict of control.(4)The difference in business philosophy between shareholders is the trigger for the conflict of control of the company.Conflict of control usually has a significant impact on the operation of the enterprise,and this impact will mostly have adverse consequences for the enterprise,but also bring some favorable effects.The conflict of control that occurs in AB has its own characteristics and is inseparable from its public institution background.Taking AB Company as the research object,this paper analyzes and sorts out the various contradictions,differences,development and results caused by the conflict of control of AB Company in the context of the transformation of public institutions into enterprises from establishment to operation,and tries to summarize the relevant conclusions and rationalization suggestions on the conflict of control in the context of the reform of public institutions according to the analysis of AB Company,so as to provide a reference for the sustainable and healthy development of enterprises.You can also add practical material to the research on this topic.Most of the previous research on corporate control has been on listed companies with relatively complete governance structures,while smes and non-listed companies do not have a sound governance structure and management system due to various restrictions,and the resulting control problems have not received enough attention.This paper attempts to take AB companies as the research object and provide reference for the majority of small and mediumsized enterprises and non-listed companies.