The new board dominated by outside directors of Crown corporations Baosteel Group China must decide whether to change the structure of the Group. With the completion of a pending acquisition, the Group controls four subsidiaries of steel products sold, and board members are concerned about competition between companies and the public shareholders of subsidiaries. Selected by the Chinese government as the first company to participate in a pilot project on corporate governance in public companies, Baosteel and his council are under scrutiny by the Chinese and foreign subsidiaries listed investors and political leaders China and media. The case provides a context Baosteel, the reform of public enterprises in China, the Chinese government pilot project on corporate governance and functioning of the newly constituted Board of Directors of Baosteel.
Lynn Sharp Paine,
A. G. Donovan
Source: Harvard Business School
Date Posted: March 12, 2009. Prod #: 309098-PDF-ENG
Baosteel Group: Government Solution For Chinese characteristics