Research On The Motivation And Effect Of Eternal Asia Reverse Mixed Reform

In recent years,China has made it clear that the focus of reform is to actively deepen the reform of mixed ownership.In the process,with the exploration of mixed reform in practice,the modes and paths of mixed reform are gradually diversified.the method of the mixed reform which mostly used for is Non-state capital.In 2015,the State Council issued No.54 Opinions on the Development of Mixed Ownership Economy by State owned Enterprises,which clearly proposed to encourage state-owned capital to participate in non-state-owned enterprises in various ways.Under the guidance of policy,there is a growing trend towards two-way selection and it has created a new mode of twoway mixed reform.However,most of the studies are conducted from the perspective of state-owned enterprises.There are few research findings on the motivation and effect of introducing state-owned capital into private enterprises through specific cases.Therefore,in the context of the practice of introducing state-owned capital into a large number of private enterprises,through the research on the reverse mixed reform mode of stateowned capital background & private enterprise operation,it will help to provide new ways for the development of private enterprises,and promote the development of national integration.Under this background,this paper selects a representative case from the “Double Hundred Action” reform sample of Shenzhen: Eternal Asia introduced strategic investor SIHC through reverse mixed reform.The research focus of this paper is proposed: What is the motivation for Eternal Asia to choose reverse mixed reform to introduce stateowned strategic investor;After the introduction of SIHC,whether the corresponding effect of the motivation has been achieved,to what extent,and whether there is interaction between the effects.This paper is based on the research logic of motivation-effect,firstly introduce the basic situation,the background and the process.Secondly,the internal and external motivations are analyzed in detail.Thirdly,dynamic analysis on the effect of reverse mixed reform,including short-term effect analysis based on market response and longterm effect analysis based on company development.It focuses on level by level to analysis the long-term effect analysis system,which consists of corporate governance,resource allocation and financial performance.Finally,this paper draws the corresponding conclusions and recommendations.This paper draws the following conclusions: First,due to unfavorable background,Eternal Asia itself exist the motivation of solving financial difficulties and the strategic motivation of acquiring digital experience inside.Also,it exist the motivation of expanding the industrial layout and the motivation of obtaining the background of stateowned capital outside.Secondly,the short-term effect of the reverse mixed reform mainly focuses on the market response,and investors and the market showed positive reactions.It has also brought positive long-term effects to Eternal Asia.At the level of corporate governance,it has optimized the governance structure,balanced the equity structure,guaranteed the core position of the party committee,improved the company system,paid more attention to investor relations,and improved the governance efficiency.At the level of resource allocation,SIHC has brought about political connections,expanded the source of funds,thus improving its R&D capability,and helped the enterprise to implement its strategy.After integrating the advantageous resources,it has improved the efficiency of resource allocation,restructured the business structure,and improved the competitiveness.At the level of financial performance,Eternal Asia’s debt servicing ability has been improved,which is also helpful to its operating ability and growth ability.Finally,combined with the above analysis,this paper draws the corresponding conclusions and recommendations.Finally,propose feasible suggestions: select appropriate state-owned strategic investors to achieve a balanced equity structure,while maintaining appropriate operational autonomy,and make full use of the advantageous resources of both sides to form an effective balancing governance structure and management model,so as to realize the transformation from mixed equity to governance integration.The research value of this paper is as follows:(1)This paper provides a new perspective for the study of reverse mixed transformation,based on the perspective of introducing state-owned strategic investors,focus on the phenomenon of reverse mixed reform.(2)This paper deeply studies the effects of reverse mixed reform at different levels,explores the relationship between the effects,and provides some ideas for other studies that want to explore the effects of reverse mixed reform.(3)By analyzing the reverse mixed reform mode and summarizing the experience of typical cases,it provides new ideas for the development of other private enterprises facing resource constraints but hoping to seek for enterprise growth.