Despite widespread news imprisonment CEO Gome Electronics, Huang Guangyu, Bain Capital believe that they are carefully conducted due diligence before making a significant investment in the company. Venture capital firm was confident that he and the current management could work together to update the fate of China's leading electronic retailer. However, he did not expect the authorities Juan was behind bars. As the majority shareholder, Juan was able to manipulate the meeting of shareholders and current management decisions and structure. Was this typical for investments in China or Bain Capital just find themselves in a unique situation? What can be the future managers will learn from this situation over corporate governance and ethical business conduct in China? "Hide
by William C. Kirby, Tracy Yuen Manty Source: Harvard Business School 15 pages. Publication Date: August 5, 2011. Prod. #: 312025-PDF-ENG
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