Research On Allocation Issues Of Financial Administrating Rights In Modern Companies

The mechanism of corporate governance is becoming a hot topic of modern corporate institution research. Sine finance functions as the focus of stakeholders' interest in a company, the allocation of financial rights is of great importance. The financial administrating rights here refer to the rights of financial control and revenue. As corporation is a nexus of incomplete contracts, every stakeholder has the right to participate the administrating of the company. But the importance and the realization pattern of stakeholders are different form each other.The thesis mainly is concerned with the realization pattern of stakeholders' rights in modern companies. By the comparison with the other countries such as America, Japan and Germany, we analyze the existing problems in realization of rights in our companies, and provide corresponding improvement and suggestion.The main problems in the allocation of financial in modern companies are the following, shareholders' meeting has been the meeting of major shareholders, minor shareholders' interest and rights have been damaged, The boards of directors are short of independency, the insiders' control of executives is serious, the mechanism of encouragement and restraint to the executives isn't perfect, and so on.It is emphasized that the structure of share capital needs improving, the major shareholders need cultivating, the protect mechanism to the interests of minor shareholders needs perfecting, the independent director system needs to be improved, and the experts who have knowledge and information need to be recommended in the board, the directorship and executive should be separated, long-term rewards plan should be executed to the executives, and the executives should be monitored and restrained so as to protect the interests and rights of other stakeholders.