Study On The Corporate Governance In Small And Medium Enterprises Of China

Country that wants to achieve economic success can not be separated from the effective functioning of the basic business. The lasting vitality of enterprises must rely on a sound corporate governance system. The development of Property Rights Theory and Stakeholder Theory makes SMEs corporate governance issues will inevitably become the theoretical study. SMEs sustained, steady and healthy development is very important to the overall development of China's economy. Research on SMES corporate governance theoretical, have great meaning to solving the realities problems.This paper companies for the study of small and medium enterprises,from internal management and external management of SMEs in terms of corporate governance were discussed. The internal governance is the core of corporate governance, and its main role is through the general meeting of shareholders, board of directors, board of supervisors and the management posed by the corporate governance structure; External control is the supplement of internal governance, and its role is to enable operators achieving self-regulation though the affection of the outside world, including the capital market, and product markets, such as the labor market. Therefore, this paper study on SMEs corporate governance from the rights and interests of shareholders, boards of directors, board of supervisors, management (internal control) and stakeholders (external control).By analyzing the present situation of SMEs corporate governance, summed up the characteristics of the SMEs is decision-making system integration, for concentrated shareholding will lead to a three -unions one, the three powers-one phenomenon. Shareholders and the board of supervisors-one supervision system, shareholders, directors and management laminated one of the operating mechanisms. As SMEs have the views of stakeholders contradictions, see the stakeholders of the company's contribution at the same time, but could not protect their interests, making stakeholders exist virtualization trend. On the basis of corporate governance problem, paper gives corresponding countermeasures and suggestions to the SMEs.Through a survey of a design institute, analyze the governance issues, put forward measures for improving (countermeasures applications), though case papers made thus concluded: SMEs must be in accordance with its corporate governance which the regions, sectors, policies and regulations, national, level industry and cultural environment corresponding to the specific circumstances of the corporate governance measures. In order to promote the healthy development of enterprises construct reasonable structure, in line with the characteristics of the enterprise corporate management.