Research On The Path And Effect Of Mixed Ownership Reform Of State-owned Zombie Enterprises

In recent years,China’s economy has maintained rapid growth.In the past 10 years,industries such as real estate,steel,and coal have shown a new vitality.On the one hand,the "prosperous development" of these industries has indeed nurtured the continued growth of the economy;on the other hand,due to the rapid expansion of production capacity,the problem of overcapacity has become increasingly prominent.As a result,some originally poorly-operated companies began to expose the nature of their zombies,and a large number of zombies emerged.Among them,the state-owned zombie enterprises account for a very high proportion.However,due to the "blood-sucking" nature of state-owned zombie enterprises,its existence has gradually become an important issue hindering the healthy development of China’s economy.So "state-owned zombie enterprises" became the government’s focus.However,the available data show that it is difficult to solve the problem of zombie enterprises due to the characteristics of the zombie enterprises and the unique methods for zombies in China.On the other hand,the current reform of mixed ownership is the main direction of SOE reform.In 1999,the Fourth Plenary Session of the15 th CPC Central Committee proposed for the first time that large and medium-sized state-owned enterprises could be changed to joint-stock enterprises and that a mixed ownership economy should be developed.Subsequently,the reform of property rights spread from small to medium-sized enterprises,and large enterprises attempted to restructure into state-controlled mixed-ownership enterprises,including selling some of the existing state-owned shares to private and foreign-owned enterprises.As a steel company with a large influence in the northwest of China,Chongqing Iron and Steel has been suffering from a long-term dilemma under the influence of the overall downturn in the iron and steel industry.Therefore,taking Zhonggang as an example,it is of theoretical and practical significance to study the path and effect of this state-owned zombie enterprise’s mixed ownership reform.This article will be divided into six chapters to study the path and effect of the mixed ownership reform of state-owned zombie enterprises using heavy steel as an example.The first chapter describes the background and significance of the research,the research ideas and content framework,the main research methods,and the innovations and contributions of the article.The second chapter defines the related concepts,and sorts out the literature on zombie enterprises and mixed ownership reform.The third chapter is the institutional background and theoretical analysis of the mixed ownership reform of state-owned zombieenterprises.First,it analyzes the institutional background of the mixed ownership reform of state-owned zombie enterprises.Second,it analyzes the path of mixed ownership reform of state-owned zombie enterprises.Chapter 4 is the case description,including the company profile,case background,and case review.The fifth chapter is a case analysis.It will sort out the six paths of Chongqing Iron and Steel Mixed Ownership Reform for the selected case company,and finally analyze its effects.The analysis will be from the perspective of agency costs and financial performance.Chapter VI is conclusions and recommendations.In the end,it was found that the six paths of Chongqing Iron and Steel,from the equity level and corporate governance level,helped Chongqing Steel to achieve the maximum degree of mixed ownership reform,not only the nominal mixed ownership,but the reform from the inside to the outside.In terms of results,agency costs have been significantly reduced,and financial performance has also performed well.Based on this,it can be used as a reference for other state-owned zombie enterprises,combining their own operating characteristics and the external environment in which they are located,choosing a path that suits them,and completing the mixed ownership reform.At the same time,make use of its professionalism to better realize the continuous operation of the enterprise.