On The Reform Of SOE Corporate Governance Model

The 4th plenum of 15th CPC Central Committee pointed out that the corporate system is an effective organizational form of the modern enterprise system and the corporate governance is the core of the corporate system.. The problem of corporate governance has a profound practical and academic significance for SEOs reform.Corporate governance is close related with the modern enterprise. The paper discussed the definition, nature and function of corporate governance and made a comprehensive summary of the theories on corporate governance with a reference the development, type and feature of the modern enterprise.Based on the study of the corporate governance models applied in the western countries an the evolving process of th SOE's governance mechanism in the last twenty years, the paper proposed a principle and scheme to design the SOE's corporate governance suitable for present situation and made some suggestions to improve the effectiveness of the SOE's corporate governance.