The Convergent Evolution On The Modes Of World Corporate Governance And Inspiration To China

Since 1990s, institutional investors participate in the corporate governance deeply with economic globalization. With the emergence of the scandals of companies in developed western countries and the outburst of Asian Financial Crisis, the countries all over the world pay more and more attention to the corporate governance. It has formed the globalization tide of the corporate governance. Countries all over the world, both developed and developing countries, explore valid way of the corporate governance. Different modes of the corporate governance are permeating each other, blending each other, and demonstrating the convergent inclination. To use the successful experience of reforms of other countries in the world in the corporate governance for reference, improve and perfect the corporate governance in China and strengthen the competitiveness of enterprises in the international market, they are key points to study the problems of the corporate governance in China. This article divides into four parts: First, state the intension of the corporate governance, the main theory groups, basic principles and the subject matters faced with. The corporate governance is believed arrangements of series of laws, cultures and systems concerning about assignment of control powers of companies or surplus claim. These arrangements determine the goal of the company. There are series of questions in owners of companies, companies'control method, the risk and income, members in the companies including shareholders, creditors, workers, users suppliers and companies'assignment among communities. The goal of the company is that the wealth of society is maximized. A company has many partners who are related with each other in interests. The goal of the company is not only to pursue company's value to maximize simply, but also to meet different demands of the partners. Company's decision is result of joint efforts of partners. The corporate governance should guarantee the rights and interests of partners, treat fairly all kinds of shareholders including minor shareholders and foreign shareholders, and reveal all information in time related to the company's financial situation, operation state, ownership and the state of the corporate governance, strategic guides and the effective supervision to the administrative staff of board of directors and guarantee the board of directors responsible for company and shareholders. At present, the corporate governance is facing series of difficult problems in dealing with entrustment of an agent, ineffectiveness of outer control, partners'participation and arrangement of human capital. Second, take three kinds of modes in U.S.A., Japan and S. Korea as examples, evaluate and analyze the main modes of world companies and have stated the forming background, essential feature and validity of different modes of the corporate governance. Three kinds of modes differ from one another and reflect their own state of economy development and society cultural traditions. The corporate governance mode represented by U.S.A. is developed on the basis of traditional freed market economy. It is outside supervisory mode, the senior executives have decision-making power in operation. It relies on the strict information announcing system and the developed security market to make shareholders controlling system realized. Because the stock right is scattered, the structure of the stock right is unstable, the shareholder's supervision to senior executives is relatively weak. It forms the phenomenon of " the weak shareholder, strong managerial hierarchy". It is typical inside controlling mode that key shareholder, commercial bank, obtains the advantage of the company operation information. So costs of controlling are very low, administration of the company is effective. The legal persons hold shares steadily each other, and the banks hold shares of companies and interfere from company. It is possible for all relevant partners to control companies. Though they own developed security market, as far as financing and controlling, there is limited function. This kind of mode owns faults onmarket controlling system. Family's mode is represented by S. Korea, it is the power sharing in members of family which it takes blood relationship as tie to set up assignments of power. It strengthens the cohesiveness of enterprises, and improves the steady degree of enterprises, because parents' dictatorship type is commanded, they make decisions rapidly. That avoids disputing. But enterprises'socialization is so poor that it restricts the development of them. Family's control mode belongs to inside controlling mode too in fact. Various kinds of control modes have their owns specific backgrounds. They played positive roles in their own national economic development. However there are certain drawbacks, they need to improve by and by. The third, state that inside role on convergent control mode of world corporate governance and external driving force, and summarize the essential feature on convergent control mode of corporate governance and analyze the effect on world economy. Each of two modes has its own merits and still exists the difference. But with the quick development of the economy globalization, they have already presented the trend of merging each other. Mode of outside people is beginning to pay attention to inside supervision function. Mode of inside people is demonstrating a lot of characteristics taking market as outside modes of people. Pay more attention to the importance on company's administration structure of persons who are correlated with interests together, it is the joint of the two. That reflects convergent trend of the two. In summery, the essential features: Shareholder's interests are paid attention by administration and supervision authorities day by day; Strengthen the independent director's system; Enforce company's information announcing system; The persons who are correlated with the interests get involved in the corporate governance; Institutional investors are playing a positive role day by day. This trend will promote company's merger and market competition, increase the possibility of the global economic crisis, and will promote the development of the corporate governance the transition countries at the same...