The Research Of Funeral Services Franchised Operation Based On Market-Oriented Reform

Over the years, the civil affairs departments at all levels in China havebasically mastered all the local funeral resources, which provide almost all thefuneral services. In addition to government offside, trade monopoly, more andmore shortcomings of the current funeral service system are exposed, and thesenot only lead to overstaffing of the funeral units, but also result in more seriouswaste of resources, inefficiency, too high cost of services and the decline of thequality of services, and most people believe that the funeral profits are too high,and the public satisfaction remains at low levels. Therefore, to reform theconstruction, operation and management system of funeral service industry isimperative.One of the important ways to solve the current bottleneck of the development of the funeral service industry is to implement market-orientedreforms, introduce private capital, and introduce the competition mechanism torealize the diversification of investment subjects and the diversification ofoperating modes. Currently, to introduce the private capital into the publicservices industry is also more important and successful way is for thegovernment to implement the franchised operation to the public service industry.In this article, the author believes that the funeral service industry, as a "specialpublic services industry, may learn from the successful experience of otherpublic service industries to implement franchised operation, and combine theactual situation of this industry to find the own road of franchised operation ofthe funeral industry. By way of franchising, we will break the monopoly andform the competition mechanism through the way of franchised operation toimprove the service efficiency; the government shall change its functions andwill not interfere in micro-economic production; funeral services will havehigher quality and lower price, so that people will be satisfied. But the marketorientedway of the funeral service will face the transformation of governmentfunctions, monopoly and competition, prices and pricing mechanisms and otherissues, and the possible drawbacks such as the infringement against the publicinterests by the private sectors and the blind social capital investment, and themarket mechanism will also malfunction. This requires the government tochange its role, give full play to the roles in planning, regulation and otheraspects to inhibit the negative effects of market-oriented operation, and control the risks of the franchised operation of the funeral service industry throughinstitutional innovation...