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Shui On Land (SOL): The Next CEO (A)

Abstract

Case A in this two-part series introduces the history of Shui On Land (SOL, the famous real estate developer in Shanghai that developed and operated Xintiandi, or “The New World”), the development process of Shanghai Xintiandi, and the commercial mode of and external environmental changes facing SOL. On this basis, it puts forward the issue to be addressed in the case, which is the succession plan of SOL during an important transition period in 2010. Was it necessary for Lo to retire? Should Shui On become a family business or a non-family business? Should the successor be a professional manager or an internal manager? How could an internal manager be selected as the successor? Case discussions may help students gain a better understanding of leader handover of enterprises, particularly CEO succession in enterprises controlled by the founder. Focusing on Li Jingang, who was appointed as CEO of SOL in early 2011 but resigned in January 2014, Case B offers two explanations for Li’s resignation, and aims to guide students to further reflect on the problems with the process and method of SOL’s CEO selection in 2010.

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Published by:China Europe International Business School

Publish Date:2012-01-01

Language:English

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