The Protection Of State-owned Property In Joint Ventures In The Process Of Share Holding Ratio Of Foreign Partners Increasing

From 1990s, along with the rise of economic globalization and Chinese investment environment becoming better, foreign enterprises stopped the tentative strategies. In joint venture a new trend, foreign partners gradually increase share held ratios to control or completely possess the enterprise, is taking place.Although these joint ventures make contributions to China's economic success, we should clearly realize that in the physical operation of joint venture, such issues do exist, like short life-span and non-stability; assets in evaluation greatly lost, Chinese side loses power on management and administration step by step etc. The basic reasons caused these problems are: asset evaluation is improper; loopholes on ourselves' enterprise system and environment; control rules and related law of China are imperfect; less of law consciousness; culture difference etc. All of these lead to Chinese joint venture partners being in a passive position.For the present, the main problem of Chinese side in our administration structure is the unclearness in the property right of the state-owned enterprises, and the lack of effective supervision institution and organization. These make it hard for the value of the state-owned property to be conserved, increased and to be prevented from being washed away.Based on the concept, characteristics, development and roles of joint venture, author try to summarize some experiences from research of a typical case of local state-owned enterprise cooperating with a international corporation, and to provide some helpful measures for local state-owned enterprise from a specific view of point on how to surf in the wave of economic globalization,. Hoping these measures contribute to maintain position of Chinese part in joint venture, at mean time ensure to keep and rise in assets value of Chinese side, and promote more healthy and stable development of join venture.