Investigation Into Chinese Private Enterprises' Corporate Governance

Recently, in the organizing forms of private enterprises, the proportion of limited companies has been increased and occupied the dominant role. The number of private stock company is also increasing, which means company system has already been the choice of Chinese private enterprises. The development history of enterprises all around the world and the practices in China have proved that private enterprises must carry out "Entrust and Surrogate System" and make for modern enterprise system. So the rise of "Entrust and Surrogate Relationship" leads to the problem of Corporate Governance.The "Company Law" in China has set general rules for Corporate Governance. But because of the influence of different factors, there still exist many limitations. What's more, there are some problems in private enterprises themselves, so many problems happened to the Corporate Governance of Chinese private enterprises. If these problems cannot be solved, the activities and the development of the enterprises will be limited. Therefore, to transform Corporate Governance has already become one of the most important tasks for many private enterprises. The article research the present situation of Chinese private enterprises by case study and divides the problems of Corporate Governance into 3 groups: property right; surrogating and the composition of board of directors. On the base of theoretic research, the article uses international experience for reference to promote some suggestions on how to improve the Chinese Private Enterprises' Corporate Governance.The main contents and logic structure of the article are: 1 the problem's background, characteristic and literature summary. 2 the theoretic base of the research,3 the current situation and analysis of Chinese Private Enterprises' Corporate Governance, including the analysis of their property rights and existing problems, etc.4 Corporate Governance experience from foreign countries, which provide a lot of advice for Chinese companies. 5 Some suggestions on how to promote Chinese Corporate Governance, from several aspects. 6 prospects of future developments of Chinese Private Enterprises' Corporate Governance.