A Study On Internal Supervision Mechanism In Listed Companies Of China

As an important part of corporate governance theory, the supervision within enterprises is a subject of theoretical importance and practical significance. A survey of the status quo of Chinese listed companies shows that insider control is a very outstanding problem due to wanting of effective internal supervision mechanism. How to materialize the effective supervision within listed companies is a problem needing prompt solution. Since 1980's, articles on corporate governance have appeared in great amount but they have not formed a complete system, and few of them discussed about such practical problem as supervision mechanism. As a developing country in transition economics, our country is still weak in the research of this subject.The article holds that the operation of internal supervision mechanism not only depends on the power structure of the companies, but also depends on the game of every subject.This article tries to make a comparatively systematic analysis of and a realistic investigation into the supervision within our listed companies on the basis of existing research achievements by combining the positive theory and gauge theory, with an attempt to putting forward some objective patterns of supervision mechanism and offer corresponding strategies and suggestions .