Study Of The Corporate Governance Of China's Family Private-owned Enterprises

In recent years, the rapid growth of the nongovernmental enterprises of China has shown a bright prospect of China's economic development since the reform and opening and also a phenomenon that cannot be neglected in the national economy and social life of our country. However, as far as the rapid growing nongovernmental enterprises of China are concerned, some incidents such as"Juren Group Incident","Sanzhu Lawsuit"and"Destruction of Aiduo's Dream of Tender King", etc. frequently occurred several years ago. Therefore, the rise and decline of family enterprises of our country has aroused everyone's interest, thinking and discussion of the family enterprises. In the meantime, the mode of family governance is often regarded as the arch criminal of the reasons for failure of these nongovernmental enterprises. The company governing structure is the hot spot of the current study of enterprise theories. The reason is that the different arrangement of governing structure directly influences the achievements and development of the company. The company governing structure is a system arrangement used to dominate the relations between some groups at great stake in the enterprise such as investors (shareholders and loaners), managers and employees and realize the economic interests from the union.The company governing structure includes how to allocate and exercise the control right and how to supervise and evaluate the board of directors, managers and employees as well as how to design and realize the encouragement mechanism. With the continuous deepening of the study of enterprise management of our country, people have gradually realized that the perfection of company governance is the inevitable core step of development of family enterprises. The company governance of nongovernmental...