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Study On Entrepreneur Incentive-restriction Mechanism

Posted on:2005-07-08Degree:MasterType:Thesis
Country:ChinaCandidate:Z Y XiangFull Text:PDF
GTID:2156360122495188Subject:Industrial Economics
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Enterprise described by new classical economics has much difference with that in realistic economy, but related theories on entrepreneur were stated in the process of formation and development of new classical analytic framework. Entrepreneur is defined by most western economists as coordinator, medium merchant, innovator or uncertainty burden, which becomes dominant explanation to the concept of entrepreneur. Although Marx did not explicate the problem on entrepreneur, his analysis has apparent comprehension of entrepreneur on capitalist's function in an enterprise such as coordination, risk burden, technical innovation, etc. Researches on entrepreneur begin late in China and most of them are based on western entrepreneur theories. Discussion on entrepreneur among Chinese scholars has tight connections with the realities of state-owned enterprise reform in China, on which much strategic contribution is given on the basis of theoretical analysis. Entrepreneur is defined as professional manager in this paper on the basis of precursor's study. Entrepreneur is a kind of compounded human resource, which allocates, coordinates and motivates other productive factors, thus becomes core factor in economic development. The formation of entrepreneur reflects not only individual ability features, but also institutional efficiency to some extent, so it is a result both in term of inborn and acquired. Due to the separation of ownership and administration, information asymmetry, agent cost and individual opportunism, the problem of entrepreneur incentive-restriction becomes focus in industrial circles and in theoretical circles with the rise of modern corporate institution, entrepreneurs are compounded talents whoare professional in complex labor. Since it is impossible to monitor their behavior or the monitor cost is too high, entrepreneur incentive mechanism should depend mainly on market competition and property rights incentive, subsidiarily on incentives such as achievement, self-realization and social honor. Entrepreneur restriction mechanism should depends mainly on property rights restriction, responsibility restriction, budget restriction, juristic restriction, moral restriction, etc. State-owned enterprise reform is not only an important economic problem, but also an urgent political matter. The overall measures to restructure entrepreneur incentive-restriction mechanism in state-owned enterprise are as following: sticking to socialist direction in market economy reform, encouraging institutional innovation, reinforcing performance tests, balancing incentive and restriction both in long and short run, combining material with spirit, etc. Followed by these principles, entrepreneur incentive -restriction mechanism in state-owned enterprises in China can be operated from the following aspects: yearly salary system, option schema, MBO mode, establishing and perfecting corporate governance structure, democratically monitoring employee, capital market takeover, bank debt restriction, legislation construction, establishing and perfecting entrepreneur market.
Keywords/Search Tags:entrepreneur, incentive, restriction, state-owned, enterprise
PDF Full Text Request
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