Research On Legal Regulations Of Power Balance In State-owned Companies

As stepping into the stage of corporatization, most of the state-owned enterprises choose the form of solely state-owned company. However the change of form was only the first step , the establishment of related regulations was more important. As the company held solely by the country, the shareholder of solely state-owned company were disperse and virtuality and can't exercise power personally. As the representative of the whole peoples ,the power of government threating self-operation right of company. Because there are multi-agencies between shareholder and decision-maker ,the phenomenon of insider control is serious. The people representing different benefit can reach the agreements invading the corporation's interest easily. The external and amateurism make the board of supervisor can't supervise effectively. All of these bring about the plight of corporate governance.The clauses about power operation of solely state-owned company in"Company Law"are so simply. The clauses of"Provisional Regulations on State-owned Assets Supervision and Administration"are too old to solve the new problem of the solely state-owned company. The thesis analysis the specificity of the solely state-owned company and introduce the advanced system of foreign in the basis of basic theory of law. Eventually, the thesis bring about the proposal on the question: firstly, improve the state-owned assets management system. Secondly, improve the system of the board. Thirdly, build the check and balance system between board and management. Finally, strengthen the functions of the board of supervisors.