New Title From Kluwer: Transformation and Renewal: Corporate Reorganization and Investment in China

Kluwer have just announced the publication of bilingual title “Transformation and Renewal: Corporate Reorganization and Investment in China”, written under the invitation of Wolters Kluwer CCH by King & Wood Law Firm.


Here’s the press release..

As with throughout history, the rule of the “Survival of the Fittest” has always been an indispensable part of modern business, and in this game, losers will be soon forgotten or ignored. But wait…What about when giants lose? Do the values vanish? Nothing left, or is there something we just simply ignored? Much like in nature, business has its own eco-system. Every single unit, lose or win, has its irreplaceable identity. The key lies in whether you can obtain the power to manage. There are vultures in nature, which can generate energy from the dead. Then, how will “vulture investing” work in business?

There are questions being discussed over and again that have drawn plenty of attention: After over 30 years’ rapid growth, how will China’s economy achieve a balanced, more sustainable development while digesting the cost coming along? For enterprises, how to find new chances of growth in the forming framework; and for investors, how to seize the opportunities of the time and dig deeper for more?

Let Periodicity Work for You

“Gaining from periodicity works a lot better than from growth.” Simple, yet it’s harsh to reveal the nature of “Vulture Investing”.

“Vulture Investing” refers to those investors that buy out and reorganize bankrupt enterprises in order to get the most of the investment interests. “Angel Investing” is similar. The only difference is angels prefer the emerging ones, while vultures the bankrupt and the ones in trouble.

“Vulture Investing” works similar to vultures in nature: feeding on the dead. And people have not seemed to pay enough attention to its value.

In fact, put aside the negative associations and we’ll literally see that “Angel Investing” is actually investing on growth while “Vulture Investing” periodicity. There are periodicities in economic lives: a product can not always win or succeed, nor an enterprise, nor a field. There are four periods for an enterprise: emerging, growing, breaking-even and dying out. “Angel Investing” is staring at one, while “Vulture Investing” takes all four, which means more businesses, more opportunities and more profits possible.

The dramatic growth rate of China’s economy, bringing huge profits for growth investment in a long time, makes us ignore the gold mining of business periodicity off our fingertips. However, as the competition becomes harsher and the framework grows more stable, the room for investment will be smaller and smaller, and thus capitals and funds have nowhere to go but to find a new world. It is right time for us to give a serious look at vulture investing.

Let Periodicity Work for You! This might be, and will be, the slogan of the year.

Vultures Fly

Then how does “Vulture Investing” work?

“Vulture Investing” makes money from low price purchases. Assessing the value of bankrupt enterprise assets is very low, which is the best time to buy.