Wang Wei: discussion of GOME controversy should be based on technical knowledge

Intensified control of GOME already in the trade dispute "to make" a lot of heated discussions, yellow Chen by various means and channels for "politics", the media war, holdings, for help outside the capital, prosecution and remove ... Misinform, climax, fought Hollingsworth, victory suspense.

GOME control, in fact, the original is normal but enterprise internal personnel control for commercial event; however, with the media constantly catalytic and event of warming, now create a climax, fascinating modern version of "business caused a teenager," community "appreciate" and attention, participation and discussion.

From 17 September to 28 September to convene the general meeting of shareholders, GOME Sina financial will continue to introduce the GOME disputes: hilarious cool behind the series column.

We try to jump out of the "yellow-fo struggles", presented to the reader on a rational, objective observation. The Chinese National Federation of merger and Wang Wei, Chairman of the Association. (Source: SINA financial Liang bin photo)

Wang Wei (China National Federation of merger Association)

In various media and the experts of Anatomy, the ins and outs of GOME controversy and drama, already well known, the discussions on the United States has evolved into a business position of watershed and touchstone.

But many onlookers often do not understand the dispute between the United States technical knowledge will champion like approaching a boost, a lot of people to participate in discussions or ignore the debate each other's point of view, only the position of the word. More critics in the capture point surface phenomena after arbitrarily on one of the only way to normal fangxing concept concepts form the ideological confrontation. I believe that we discuss not only the United States, but China's transformation to a modern company's basic structure and core elements, the more is the enterprises civilization evolution pains.

There are five power constrained GOME dispute observation framework: major shareholders, management, funds shareholders, market rules, the media and the public, this is the modern public company operating framework.

Yellow-fo struggles not only is the owner and Manager, and major shareholders and minority shareholders. Similarly, Bain Capital and Wong controversy or dispute between shareholders. This is the basic facts, but also out of the settlement of disputes, legal and financial platform, in particular the rules of market-tested, and does not require us to arms. The problem is that the media and the public in this dimension are the most difficult to coordinate the position of that, of course, which naturally you want to upgrade to arguing moral level, in any corner of the world is the same reason. The dispute between the United States is concerned, this is precisely the value of the Chinese have long collapsed belief system, we follow the pattern, unscrupulous, and therefore no sustenance, can only own their own moral high ground, and moral confusion in the market are the variables. Thus, we have to improve vision in order to better sort out our ideas.

First, the analysis of non-judgment and interest.

Reasonable and plausible legal is all the different interests of the different positions of the parties and the spectator wants to simultaneously achieve the outcomes, and therefore is not possible, on this basis to discuss any business conduct are incisive changeable, vague. The controversy in the United States, we see many logical argumentation and psychological analysis, whether involving character and moral qualitative zang. Analysts are intellectuals, who thinks highly vulnerable to psychological, the other slightly disrespectful words, spectators, the way of refutation. The media is proud of her discourse authoritarian, casually throw a low-level argument, it cannot be said to deduce to the Division judge. Entrepreneurs in verbal violence following forced to, or induced had to hurry to select position, Paul Wong or Po Chen, inadvertently caught his contradictory dilemma: most entrepreneurs both shareholders and managers.

Planned or control economic thinking is clear, coherent, Cardinal value judgement and so-called enemy and friends of choice is always the primary "revolution".

But in a market economy, the real problem is the commercial interests of comparison and selection, judgement is not important, the compromise is the motive force for development. Only the non-judgement adjusted for interest analysis, modern company survival value system can form. Imagine, business history, political history, which is what Cardinal of things, later denied that the predecessors of things not emerge? I think that this is the administration calls on us to keep pace with the times's true meaning. Therefore, reasonable analysis temporarily or aside, let our existing regulatory priorities. If the regulations do not comply with the principle of reasonable for most people, but also to follow the procedure to amend legislation.

Second, the understanding of corporate governance.

Corporate governance includes the company's social responsibility these words into China is already some days, never seems to have a common context platform, the new bottle are installed in each of the red. I am in the State-owned enterprises and private enterprises of listed companies have participated in the corporate governance Committee, also have the opportunity to participate in international institutions and Government regulatory discussions, see accustomed to Opera and song, this is actually a benefit game tools. Conflict, the running cost is too high, established a framework of a mutual observance, fancy wrappings called corporate governance rules. Once the market changes, the game changes in strength are large, corporate governance should be re-shuffling, not to the parties to adopt special more true.

Shareholders regardless of size, the Manager whether strong or weak, are inclined to take their own unit to constrain the operation of the company.

The Club had tried to prevent others to "steal" my company, were wary of shopkeepers (low) or outright (top) to establish special rules for the control of the "my company," but the majority of the minority shareholder or employee is inadvertently or inability to participate in the practice of their legitimate rights, and had to sit mountain view Tigers fight, from time to time to show the status of their victims. Our government regulators to own magistrate position often approach change rules to corporate governance by manipulating the company name with those in the direction of interest, it is maintaining. At a minimum of intervention, will send some independent directors into oversight. The GOME controversy, Chen to management points, the yellow lightYu, the Office of a Director, Huang guangyu veto Fund Board of Directors and then deny the shareholders ' meeting resolution chain transactions are based on corporate governance of the big pieces of tartar cutting, but also really qualify each other's action scope, the objective to improve the status of the corporate governance, to all onlookers a striking corporate governance practice course. Or don't take corporate governance said things, concerned about environmental changes, a game of real action.

Third, the entrepreneurs and managers of double mentality.

China generation entrepreneurs are also has two mindsets. As entrepreneurs, they need to continually break rules snare them into prison and court risks. The transformation of society does not provide a security system, which led to their suspicious and versatile, it has caused a myriad of conspiracy and strategy. At the same time, as managers, they have to keep in your own space on the accused to establish various discipline and rules, or even to lend to Jack Welch and Drucker, master to zhuangshennonggui stresses management story. This is the most important of China's national conditions, continue to break the rules, and constantly create barriers. In such an environment, vague to entrepreneurs to the very heart of the moral criticism is too, too pedantic. Easily invoke international practice, down to the success of local entrepreneurs ' comment, it is not the point. The Government failed to give its citizens and entrepreneurs entrepreneurs provide the basic sense, this is a maximum of dereliction of duty.

Instead of demonizing entrepreneurs, reprimands entrepreneurs of conspiracy and betrayal of managers, but also more attention to how to build a commercial order of stability, predictability and security.

Check should not be an empty slogan, which can be one of the many specific indicators. For example, the society can truly punishing spoofing shareholders and the public of counterfeiters and defectors, such as Dr. Tang and Li a Daoist priest? further, if those blatant theft of palliative stockholders, betrayed the public trust responsibility, predatory behavior of public assets, then all the entrepreneurs and managers are not secured, this is the basic responsibility of the Government, but also to the legal community to insult.

Fourth, the test of the market system.

Market system is in the interests of the parties involved in the ongoing conflict in established, not on the elite in the realization of design officials, not intellectuals (or know the molecule) of moral teachings. Market growth is certainly not easy, there are success and failure of the procedure, the regulatory authorities and the public should give market game to self-regulating necessary space, allowing the various parties as, even fail. The dispute between the United States a large number of onlookers through the comments expressed its position that gave me the feeling is probably in overseas education background and in the international business environment grows, more of entrepreneurs is to support and management tool. But in domestic and lakes around the year's entrepreneurs and entrepreneurs, mostly support Huang guangyu. On the way of intervention en capital and motivation have strongly criticized by consensus, as not only is the point of view. This military generals of the media and society really motivating the public to locate further self-cognition, in turn, will the original blurred out sharply divided front. This is a non-values and ethics is once again filled with discussions, a fragile market system becomes powerless.

We cannot fail to be rational and wise, so to market system a basic space? the Government no intervention is very large, perhaps because of the GOME is listed.

Market system is not an empty direction and concept, but the technical details and actions, we should pay attention to capture in the prison of the body, can be used as the basic treatment for entrepreneurs, to concerns about whether justice Bain Capital to fulfil the commitments of the Fund's shareholders and the company's shareholders on GOME, concern Chen team as trustee whether just to own a market remuneration and shareholder returns, pay attention to the small shareholders how Hong Kong express themselves under the market rules, the parties to the conflict to focus on the United States in the current competitive situation how to establish and implement their own development strategies, in a judgment against their will, the parties of the results of the action for that, and so on. Not moral condemnation and ethical criticism to disrupt the market system of self-organization, frequently encourage administrative intervention, or instigate business environment of populist sentiment.

Fifth, the test of this contract and the spirit of the discussion in the vocabulary of the most common one is the "betrayal", this is the default, and it is immoral to breach of contract.

In the entire chain of events development, different people at different times of the day can be selected according to their position to analyse the slice. Betrayal is Chen Huang guangyu, Huang guangyu operations will betray Huang guangyu, Huang guangyu betrayal of Bain Capital, or to capture or Chen or Bain Capital betrayed the small shareholders? this tangled with a number of different contracts, including the commercial lease contract, but also moral (Trustees of commitments, etc.). Once a moral lead in, all contracts are a rotten forged, nor can it be sorted out. The good news is that this company is a publicly listed company in Hong Kong is a relatively mature market, GOME controversy in the myriad of precedent on the market, we have no intention of the Commission also made public intervention in the market. Contrary to the commercial contract is subject to legal penalties, even huge payouts, and even a prison sentence, even if assets shrink. To manage the team's departure, or give up into business assets, and other reasons to implement a merger transaction in the scorched earth strategy, common in the capital markets, impairing system stability, and proximity to the spirit of the maintenance contract.

To the perspective of institutional economics, a contract to maintain the business community is a stable business community, as long as the contract is in force and privileges.

Unfortunately, we have too many contracts not equal business negotiation and market game, but people-blending, privileges, resource control and other complicated factors under, even international capital will use its own unique advantages for better their contract. However, this is the price of commercial progress cannot be tit or to adhere to the contract, even if in certain periods is inequality unjust. The controversy in the United States, the contract is the bottom line, and is the only standard. Of course, if the two sides agreed on the compromise contract outside, and also the market forcesGame results and not simply tearing up the contract. We must understand the mood of the public listed companies, the United States not to capture, not performing team, is not a shareholder, not the "I", but all the shareholders, "we", it is a series of commercial lease contract.

Finally, the media and public attention.

Relative to those of Drilon group, the worldbest Group Green cool, and even South-German group, which had high-profile stalking in the capital market, the company finally disappeared suddenly, GOME group should be a very lucky, it has been placed in the public and the media spotlight. Even Huang guangyu are imprisoned criminals, Huang guangyu as shareholder and founder's fundamental functions will still be able to get the normal play. The Government does not have a password, or under the clamp over-privileged mess as. This achievement was the dispute between the United States, let all people have the opportunity to onlookers and discussion, education, and to demonstrate their education in other people's talents. Only in the media and public attention under the supervision of the two sides have to reluctantly argument to find their own interests, seeking legal support. Also it is in the media and the public's continuing concern, the market system and business rules to become much more than government intervention in a fair and effective platform. Therefore, we should thank all those involved in the discussions of the critic analysts, the media and the public is an important participant of the market, and is also an essential market progress.