| Capital market in China started in 1990 as the Shenzhen and Shanghai Stock Exchange went into being. It has entered into a new era after 1992 when the socialist market economy system was established. The rapid development of the two stock exchanges has achieved what it take other countries decades to achieve, with the scale expanding day by day and the operation conforming to standard. As the capital market develops, the problems of the reform of stateowned enterprises and innovation of systems are getting increasingly prominent. Thus, how to use the capital market to further the reform of enterprise system, especially that of the state-owned enterprises, has become a question for study.Since its establishment, the Shenzhen stock market has made rapid progress, occupying half of the country in the nation stock market. An overview of the development in the capital market of the country can be reflected here. Bordering Shenzhen, Hong Kong is an important financial center. Although Hong Kong set up its stock exchange in 1891, it has became a world capital market and financial center only during the 1960s?and the 1980s? The development of the Hong Kong capital market and standard capital operation provide valuable experience for reference. Here, the study of the relationship between capital market and enterprise system innovations takes the Hong Kong and Shenzhen stock exchanges as examples.On the basis of the theory of system changes, the microstructure theory of the stock market and asymmetric information as well as the principal and agent theory, and taking the evolution of stock exchanges in Hong Kong and Shenzhen as examples, research has been done on the following:1.Theoretical Analysis on the Relationship of Capital Market and Enterprise System InnovationAnalysis on the impact of capital market development on enterprise system innovation, and the relationship of the enterprise system evolution with the development of the capital market shows that: as a component part of the environmental change in enterprise financing, the development of the capital market will advance the internal technological innovation, assets reorganization and system innovation, thus making the makeup of the enterprise system transform to the makeup that conforms to limited liability system; while the increasing evolution of the enterprise system requires theVexpansion and perfection of capital market so as to satisfy the needs to financefrom outside.As a mutually complementary system in the administering of companysystem structure, the capital market has to submit itself to the targets selectedby the fund-providers. The selection and supervision of enterprises specificallycover two aspects: first is to correctly reflect and evaluate the performance ofenterPrises; second is to have an internal mechanism to make inferiorenterPrises to be driven out of market competition once they are found, andthen their resources are transferred to really quality enterprises. Twomechanisms can be relied on to make this function work in the capital market:one, a share price mechanism; two, a take-over mechanism. These twomechanisms are mutually interdependent in practical operations.As the external environment of enterprises changes, innovation ofenterprise system will take the principal-agent relationship from within theenterprise as a core to have innovation of enterprises, i.e. to give incentives andplace restrictions on mangers. People who mange enterprises belong to amanager market while the owners of enterprises belong to capital market. Thetwo markets interact. The agent problem in enterprises is effectively solvedthrough capital market, agent market and other relevant markets.In system innovation, the purpose and result of recombining of essentialfactors are the reallocation and possession of economic rent. The systeminnovation is, in fact, a process of consuming practical resources. ln order tocut down the trading cost of system innovation, support from f...
|
PDF Full Text Request