Tham khảo tài liệu 'a new value investing playbook for a global age by jeffrey alan towson_6', tài chính - ngân hàng, tài chính doanh nghiệp phục vụ nhu cầu học tập, nghiên cứu và làm việc hiệu quả | 7 The Profits and Perils of Reputation 141 much larger than the profits they can make with their actual businesses. As a result over the past 20 years a very sophisticated and complicated set of structures has evolved for fleecing foreign investors out of their capital. The complexity and creativity of the fleecing techniques is actually quite impressive. All this falls under the fairly entertaining topic of emergingmarket shenanigans. If disreputabWestern companies such as Enron fleece investors with accounting gimmicks accounting shenanigans disreputable developing-market companies do so through clever deal structures with foreigners. And foreign investors who are overly reliant on reputation and capital are particularly vulnerable to this problem. A commonassumptiorthroughoutthisbookisthat in many economic systemginvestmentsthat directly or indirectly rely on the rule of lawandcontractẹ let aloneminority shareholderrights haveaddi-tional uncertaintiesand therefore unknown risks Contractscan be broken. Political windscanshift. I knew of one Middle Easterncompany that after partnering with an oversea group simply stopped answeringthe phone when they called. And investmentsrelying on intangible advantagesSuchas political access andeputaticn are the mostsusceptibleto thevariousemerging-marke1shenanigansẠ sdis-cussedin the ne i chapter the more tangible advantage technologies customer are much lesssusceptibleto theseproblems. The topic of emerging-market shenanigans could likely be a book in its own right. And the list of investors who have fallen prey to some of these shenanigans is long and prestigious. The following sections present two of the more common ones. Shenanigan 1 The Long-Term Squeeze-Out I have presented a few examples of situations in which foreigners invest and then are slowly pushed out of the venture. This results from a changing power relationship between the parties over time although it usually appears on the surface as a dispute about something
