LongRiverTech Consulting: Industrial Groups and Financial Markets Video Presentation

Financial markets provide industrial groups with a platform for financing and risk management, while the participation of industrial groups enhances the vitality and stability of financial markets.

Industrial groups use financial markets for financing to promote industrial development and capital appreciation.

Industrial groups are a collection of enterprises that classify individual stocks or individual companies into one category based on a common business industry.

They usually appear in the context of large-scale socialized production, specialized division of labor, and increasingly fierce market competition. They are the product of the continuous expansion of corporate business scale and avoidance of antitrust law restrictions.

Industrial groups are economic associations composed of multiple enterprises and institutions with legal person status, aiming to give full play to group advantages, create greater productivity, and achieve economies of scale.

The member units of the group independently exercise their rights, assume obligations and responsibilities, which is conducive to dispersing business risks.

The head office or management agency of the group implements unified management and coordination of the business activities of member units to improve efficiency and benefits.

The components of the industrial group include: core business of the enterprise, subsidiaries and branches, and upstream and downstream integration of the industrial chain.

The main characteristics of the industrial group are: economies of scale, resource integration capabilities, and cross-industry operations.