An Explorative Study on Reorganization Process and Turnaround Strategy -The Case of Tong Lung Corporate

There are many successful companies in Taiwan. However, not allof them could grow and survive forever.Accordingly, the appealing cases for corporate reorganization or bankruptcy due to insolvency are increasing tremendously. As a result, these companies create economic problems.
According to Corparate Law, these decline companies can apply reorganization. There were many firms applied reorganization in Taiwan. However, only few of them could pass the reorganization process let along those which can have positive turnaround outcome.
This research was motivated by the concern and attempts to unravel the critical successful factors of turnaround case after reorganization appeals by undertaking a qualitative research approach. To achieve this research goal, we choose a seceeful turnaround company –Tong Lung Corparate.Through the reorganization research and turnaround process, we hope to find the key successful factors.
This study found that the sharegholders’s commitement to restoring the financial viability of the financial disreessed company, not simply avoiding the creditor’s claiming is essential its reorganization result. The main stages of the company include changing in management team, evaluation stage, rescue stage, stemming stage and recovery stage. Besides, the main successful factors are many accessible assets, the company’s competitive, and the future of the industry, etc.