2007-02-13 11:34:30 · 2 answers · asked by linda chitenga 1 in Business & Finance ➔ Corporations
One is to keep control of the corporation. The board of directors/owners wants to limit the power of incoming investors so as to maintain a significant hold of the company.
2007-02-16 03:30:37 · answer #1 · answered by Jayson 1 · 0⤊ 0⤋
It is the nature of senior executives and CEOs to tear things apart and restructure. Sometimes, it is just because he is new and he has show that is the way he sees things. Sometimes, restructuring is to show investors (usually the Wall St) that actions are taken to boost earning or productivity by selling/cutting off some underperforming businesses.
All and all, it is either about new management moves or, in most cases, it is about earning and share prices.
2007-02-13 11:51:38 · answer #2 · answered by Sir Richard 5 · 0⤊ 0⤋