Affecting Factor Of Type Evolution Of China Private Enterprise

After rapid develop within the past 30 years, the private economy is becoming an important part in China, while the private enterprises are also getting more and more important to our economic growth. As economy grows, different types of organization form present different growth rates. Through analysis of affecting factors of economic growth, this paper explores the reason of the growth of different organization forms, and makes quantitative analyst according to historical data.In different historical period, private enterprise faces different environment, which forces it to choose different types of organization forms, in order to lower transaction costs. Since 1978, private enterprise takes township enterprise, individual enterprise, and limited company as its organization form. The development of these 3 types of form change with time, and each keep a dominant place in a period.This paper study five factors: labor, capital, law, industrial structure, and State-owned enterprise reform. The relations between these factors and private enterprise are also studied through regression analysis. The development of township enterprise is proportional to labor and State-owned enterprise reform, and in inverse to law and third industry. The development of individual enterprise is proportional to labor and law. The development of limited company is proportional to capital and third industry, and in inverse to labor.At last, according to the result, and combining the trend of 5 affecting factors, this paper looks forward the vista of 3 types of organization form.