The Construction Of China's Corporate Governance Structure And Measures

Corporate governance is a kind of modem corporate administration system. Maximizing shareholder equity is the objective of corporate governance. In this control mechanism, shareholder, manager, director is on behalf of different interest. In China, the history of securities market is not long, there are so many problems of corporate governance to be solved in listed corporations, such as having not establish the correct ownership structure, non-functioning of the corporate administrate construction, motivation system not perfect enough and so on. Firstly, listed corporations in China must reform the ownership structure. In order to reform valid ownership structure, decreasing the percent of state-ownership according to the three principles梖airness, steadiness, efficiency is necessary. Board of director?s function is very important in corporate governance. In western countries, the percent of independent directors is increasing in recent years, now almost 1/2 to 2/3 of the Board. In China, listed corporations need to receive independent directors. Although personnel who can meet the requirements of independent director is scare, we can do what we can do. Accomplishing motivation system, options is the most popular method in the world. Listed corporations in China should make their own plan according to their different conditions. Improving the environment of corporate governance is another important side now. Government policy and the development of market economy will affect the result of corporate governance directly.