"If a company has a major shareholder with control, it's up to me. For example, I own 51% of the shares of a company, and the remaining 49% are of various small shareholders in the market. Since I am the main holder of the company and I have invested so much property in the company, would I want to control the company well and not let the manager embezzle or ruin my company?"

"It will definitely be. Then what will I do? I vote at the shareholders' meeting and choose my relatives or friends as directors. If I don't have the ability, I don't have to be a manager of the company, but when I have any ideas about the company and need the board of directors to make a voting decision, these members listen to me and vote with me to control the company."

Xuezi only thought Liu Chen was very interesting to talk to himself, and he didn't say anything.

"But the above model will have a problem: the interests of 49% of the small shareholders may be infringed by the major shareholders who hold 51% of the shares. For example, the major shareholders want to equip the chairman with luxury cars, even private jets, luxury yachts, and various luxury consumption, which burns the company's money, and this money could have been the funds for the company's operations, or it could be directly returned to shareholders if it is not good."

"That is to say, the major shareholder only pays 51% of the capital, but if he controls the company's board of directors, he can control 100% of the company's money. This is very unfair to small shareholders, but because small shareholders are very scattered, there are very few who can hold 1% of the shares and they cannot compete with major shareholders at all, so they can often only be the major shareholder."

"A possible worse situation is that if the equity structure of listed companies is very fragmented and there is a lack of actual controlling shareholders. At this time, the company's executives often dominate the company. These executives hold very few shares but can control 100% of the company's money, wouldn't that be more dangerous?"

Xuezi became more and more frightened the more she heard it.

Knowing that Liu Chen is very smart, he finally realized that he understood and analyzed the problems from the source and from the perspective of specifying the law. She once heard her grandfather say that some talented people are like this. Such people often have incomparable talents in learning the law, but they can understand the terms that others seem boring. This is why they are all high-end and advanced in learning the law. She was not convinced at the time, and her grandfather did not praise her. Now it seems that she really can't do it. This requires strong understanding ability and strong logical thinking.

I couldn't help but exclaim, "If you stay in the United States, you will easily get a lawyer's license. You are also a gold collar. People like you can do well in any industry."

Liu Chen smiled bitterly in his heart. How is it possible? In many parts of the world, talent is not determined by the final say. It is very likely that talent will be a drag, especially in seniority. If you show your talents too early, you are often the first target to be suppressed, and you are suppressed by a group of people.

If you have a week of joining the company, you will perform more eye-catching than employees who have been two or three years. What should you do if these people do? You are so efficient, do a week of work a day, and how can other employees report their workload? You will be regarded as someone who breaks the rules.

When you can't be free in your whole body and mind, you can't do anything.

"How to solve the above problems? Then we require that the board of directors of listed companies is mainly independent directors. Independent directors simply mean that they are not major shareholders, nor are they company managers, and have no business dealings with the company, and are completely independent of the company's directors. Of course, these independent directors must also have strategic decisions, and the professionalism of company operations and financial accounting can be used to supervise the company's executives well."

"These independent directors are either famous professors, former executives of other large companies, or well-known people in society, and they must have a certain reputation. In a sense, they are taking on their own reputation as a guarantee for the company, and of course the salary is also good. If the company has something that the board of directors should have done its duties but failed to do, leading to legal issues that harm investors, such as false accounts, illegal capital operation, pollution of the environment, or major product quality issues, the board of directors must bear the responsibility, and independent directors may face huge fines or even prison."

"And once a person has a problem with his credit and reputation, it means he loses all opportunities, so senior intellectuals who are elected as directors must also be dedicated. Well, it is a good check and balance."

What else can Xuezi say? I can only sigh that this is the true academic master of China. He said sincerely: "It is completely correct. Non-independent directors are generally the founders of the company or shareholders of the company; independent directors include the presidents of Stanford and Princeton, as well as professors from all walks of life, such as Apple's Trelle, who is a PhD, and has made outstanding contributions when he served as CEO, which is a social reputation and professionalism in the technology industry."

"I fully understand, haha, I've gained knowledge. Thanks to Teacher Xuezi for his teachings."

In fact, this is the content of the US "Sarbanes-Oxley Act", which contains the provisions of the board of directors of listed companies. Xuezi wondered: "Before discussing with me, do you really don't understand at all?"

Liu Chen shrugged.

Xuezi giggled, "If I were a teacher, I would definitely like students like you very much. I have long heard that Chinese people are very smart. When I saw your understanding today, I fully understood that it was just that you Chinese people have never been united and they also like internal friction. Otherwise, you Chinese people would have ruled the world long ago, so how could there be anything else about Jews?"

Liu Chen felt depressed. How many smart young talents in China cannot get the opportunity and waste their talents in vain. This is why he has always been committed to giving opportunities. Many things are not that they cannot do well, but that people who do well do not have the opportunity. Perhaps, in their lifetime, they can change this status quo within their ability, and it will not be considered a lifetime of life.

The two looked at each other and both admired each other.

At this moment, Xuezi's cell phone suddenly rang, and she was displeased. Who is this? If it is such a destructive mood, if it is a subordinate, you must get angry. When you take it over, you will see that it is her special assistant, Leen. His face turned cold. From a distance, it seemed that it had been transmitted through the radio waves. Leen couldn't help but sneeze.

Xuezi forced rationally to suppress the anger, picked it up, and asked calmly: "What's the matter?"

"Boss, something big happened."

"What's the point of making a fuss about you?" Xuezi's tone became colder. Obviously, if Leen's next sentence could not make her change her mind, then she would have to get-out.

Leen's tone was very quick, "Apple has made a big move, and the ipod-fanni suddenly went public in China. Gumei's major stores have sales. In just one hour, there were long queues in front of almost every store."

"What?" Xuezi couldn't help but shout. (To be continued.)
Chapter completed!