Essay About Cross-Holding Structure Of Military Bank And Contribution Of The Founding Shareholders Mb Bank

Cross-Holding Structure of Military Bank in Vietnam
Cross-Holding Structure of Military Bank in Vietnam
INTERNATIONAL UNIVERSITY[pic 1]Vietnam National UniversityINDIVIDUALREPORTCorporate GovernanceIdentify and critically analyze a Corporate Governance issue of a chosen listed Vietnamese company (Military Bank)[pic 2]Instructor: Ms Tram Anh Duong Name: Ta Dang Ngoc ChauID: BAFNIU12014Executive summaryIn this essay, the problem of cross-holding structure, which is identified in Military Bank, will be discussed. Cross-holding structure has been popular for a long time in the world. The two well-known systems of keiretsu of Japan and chaebol of Korean were considered as the magical method to help the two countries revive after wars. Nevertheless, these two systems do have weaknesses which are eventually causing the negative impacts on the overall health of Japan and Korea finance as well as the health of keiretsu and chaebol themselves. In Vietnam, the cross-holding structure has performed both good and bad impacts.  The positive side of cross-holding is to encourage and promote of international trade of Vietnam, helped bank gain experience to improve corporate governance, increase the efficiency in capital management and exploit the opportunities and potential business advantage in other market. On the other hand, the cross-holding structure encourages the corruption due to power centralization and increases the bad debts in commercial banks. Government has imposed Circular 36/2014/TT-NHNN to limit the negative impacts, yet the problems still have not been solved completely since not all the negative form of cross – holding are restricted.Table of contents:Company Introduction        4Business Descriptions        4Vision, Mission and Core Value        5Organization Structure        6Major shareholder structure        8Corporate Governance Structure: Cross-holding in Banking system.        9Cross-holding and popular case practice in the world        10Cross-holding structure in Vietnam        13Comments and Solutions        17Appendix        18Company Introduction[pic 3]Full nameMillitary Commercial Joint Stock BankAbbreviationMCSBAddress21 Cat Linh – Cat Linh Ward- Dong Da Distric – Ha NoiPhone(84.4) 6266 1088Fax(84.4) 6266 [email protected]