Case Analysis Of ST Enterprise Stripping Asset

Corporate austerity strategy originated in western countries and has develo ped slowly in the beginning of the last century.As one of the main ways of developing this strategy,asset divestiture has remarkable effect in improving re source allocation,adjusting industrial structure and increasing enterprise value.Up to now,asset divestiture is popular among foreign enterprises and has deve loped into a relatively mature method of capital operation.With the developme nt of economy in China,the market environment is changing rapidly.More an d more listed companies promote the development of enterprises through capita l operation,and accept the operation mode of asset divestiture.At first,state-owned enterprises began to use divestiture,the value to stat e-owned enterprises lies in providing the path of management reform and helpi ng state-owned assets to maintain and increase their value.China COSCO Ship ping(hereinafter referred to as "Cosco")is a leader in the domestic shipping i ndustry and has a background in state-owned enterprises,but its huge losses fo r two years in a row make it a St listed company.Facing the crisis of delisti ng.It is typical for Cosco to improve its business situation and get rid of the delisting crisis through asset divestiture,so this paper chooses Cosco as an ex ample.Based on the theory of refocusing and efficiency,this paper uses the meth ods of case analysis and inductive analysis to keep the ocean transportation ma rket in the imbalance of supply and demand.The market competition is becom ing more and more intense,and the background of depression is combined wit h the actual situation of Cosco,and the causes and principles of St enterprises undefined divestiture are analyzed.And from two aspects of market performanc e and financial performance to evaluate the performance of the implementation of assets divestiture of Cosco,and thus put forward the conclusions and impli cations for the divestiture.At the same time,the paper puts forward some prac tical methods to deal with some problems in asset divestiture.The structure of the article is as follows: the first chapter introduces the p urpose and significance of the paper,and summarizes the theoretical and empir ical research results of asset divestiture.In addition,the paperundefineds resear ch ideas and research methods are briefly introduced.The second chapter main ly analyzes the theory of asset divestiture,from the definition of asset divestiture category to the macro theoretical background of asset divestiture and the per formance theory of asset divestiture.The causes and possible effects of asset d ivestiture are summarized.The third chapter mainly introduces the selected case s,including a brief introduction to the case company,China Ocean,the imple mentation of assets divestiture of Cosco in the industry level,business level an d corporate level of the background of a detailed analysis.On the other hand,the process of divestiture of China Ocean assets is described in detail.In the f ourth chapter,on the basis of theoretical research,the characteristics of the div estiture of ocean assets of China are expounded,and the effect of divestiture o f ocean assets of China is analyzed from two aspects: market effect and financ ial effect.It mainly includes the reaction of market investors to the stock price of the company and the influence of asset divestiture on corporate performanc e from the aspects of profitability,growth ability,operation ability,cost analysi s and so on.The fifth chapter is mainly through the analysis of the case of C osco,the conclusion that the short-term performance of Cosco is rapidly impro ved,but the long-term performance is not obvious.Suggestions on how to ens ure the validity of St divestiture are put forward in order to help Chinese ente rprises to take a more healthy and long-term development road.