About Shanghai Jahwa United in the Struggle for Control of the Company’s Thinking—Based on the Equity Culture and the Analysis of the Efficiency of Corporate Governance Perspective

Abstract

Shanghai Jahwa in the struggle for the control of company is the most focus event in capital market recently. Finally, the investor Pingan Trust took the real control of the company after overcoming the management. The conclusion is that analyzes shanghai Jahwa struggled for control of company, base on two relatively new perspective of the equity culture and corporate governance efficiency. Two conclusions are drawn, to begin with, capital is represented by Ping An Trust obtained absolute control of Shanghai Jahwa isn’t caused by who is the largest shareholder, it is due to lack of equity cultures. A deficiency in market participants’ comprehension and respect of equity essential characteristics and the essential meaning of equity culture what is protection of investors, especially small and medium investors. The result will inevitably lead to the value of shareholder plunged and the efficiency of corporate governance dropped obviously. Secondly, it puts forward that the aspect should be paid attention to, namely, the equity culture is significant to improving the efficiency of corporate governance and forming a corporate governance structure