| Summary: | 碩士 === 國立臺灣大學 === 國際企業管理組 === 97 === THESIS ABSTRACT
COLLEGE OF MANAGEMENT
NATIONAL TAIWAN UNIVERSITY
NAME：Yang, Tsu-Kai MONTH/YEAR：Febuary 2009
ADVISER：Lee, Ji-Ren, Ph.D.
A Study on Turnaround Strategy and Corporate Governance of
Fiancial Distress Companies
Corporate restructure is authorized and under supervision of jurisdiction court. However, this process often becomes a shield for debtors to avoid paying their debts. The whole process is lengthy and painful. Often time, it will further hurt the debtors. The net result after restructuring might make the residual value even lower than that of the starting point.
Problem faced by a financial distress company is far more complicated than that of a normal company. Management need to deal with financial difficulty, and in the mean time, confront with many internal and external challenge, such as nasty negotiation with debtor, legal process, and most importantly, to put the company back to a right track.
This study attempts to undertake an indepth study on two financial distress companies, Unicap and Yashin, and inductively conclude problematic areas in which amendments of current corporate law concerning corporate governance of financial distress companies shall be taken.
In particular, what required by the section 10 of the current corporate law is very difficult for the new management team to follow and create their vision. The regulations are stiff and become a major obstacle for people who really want to do something. We suggest an amendment on the two-layer governance structure and empower the restructuring management team to turnaround the dying company timely.
In addition, before the judge concludes a restructuring permission, he or she will apponit an accountant as legal inspector to examine the financial distress company and see if the company is of value to restructure and if the former management had commit malpractice. Once permitted, restructuring supervisor will hire an accountant to monitor the all the operational decisions made by the management team. Union leaders, legislator, tax officer, government officers will all jump in to take their pies which constitute a great interference to the management team to turnaround the company necessary quickly.
Finally, our study provides some guidance for those who encounter financial distress situation. Implications for corporate governance and corporate turnaround are discussed.
|
|---|
