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Samsung's future management without Lee Kun-hee Updated: 2014-05-22 21:24:41 KST

And there are calls for improving the company's corporate governance, will that also affect the new leadership?

Of course.
The family has near absolute control of the entire group, while holding tiny stakes in 74 affiliates through a tangled cross-shareholding of companies.
Shareholder activists obviously don't like this highly complicated web of cross-shareholding saying it weakens the influence of outside shareholders.

"There should be no cross shareholdings between the non-financial sector and the financial sector. As you know, Samsung Life Insurance is the largest shareholder of Samsung Electronics. That chain must be broken for a neat structure."

And with Lee Kun-hee out of the picture, investors may speak out against this structure more actively.
And can junior Lee Jae-yong and the Samsung family maintain their grip over the group is the question.


fatboyme (USA) 2014-05-23 06:19:18 KST    


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