Research On The Problems And Development Strategies Of China's Tobacco Monopoly System Under The New Circumstances

China is the world's largest tobacco producer and tobacco products consuming country. Due to the importance of the tobacco industry for the national economy and the particularity of tobacco products several countries have implemented the tobacco industry monopoly system in history. China's tobacco monopoly system originated in1914, date back more than a hundred years. With the founding of New China and the reform and opening up and joining the WTO, our tobacco monopoly system has also experienced the process of the bud, start-up, establishment and perfect, the tobacco industry management is gradually regulated, and the monopoly system was able to be recognized from a legal point of view.The status and particularity of the tobacco monopoly system is mainly reflected in the following areas:First of all, since the inception of the tobacco monopoly system, the Chinese tobacco industry has provided a huge amount of financial funds and made a significant contribution to national economic construction, the tobacco monopoly system laid the institutional foundation for the sustained and sound development of the national economy. Under the current circumstances, from the reality and objectivity, we do not have a mature condition for the tobacco monopoly system to reform greatly. Secondly, in the current profit chain, safeguard the country's fiscal revenue (government interest) is currently the major targets of the tobacco monopoly system, the target of maintaining the interests of tobacco consumers and protection of the national health is ignored to some extent. Under this premise, to discuss the monopoly system is more practical significance. Third, China is committed to market economy from the early1990s. Although tobacco as one of the special industries, strong government control is necessary, but in any case, the monopoly has the color of government plans and monopoly property, and its conflict with the principle of market economy cannot be avoided. Finally, in the current situation, with the progressive development and improvement of China's market economy, and with the global economic integration and the formation of world tobacco market, China's tobacco monopoly system is constantly under attack. The tobacco monopoly system in most countries of the world has been reformed to conform to the general development trend of world economy. China's tobacco monopoly system has been faced with the domestic voice of deepening reform and the international trend of "non-monopoly", it has came to the critical period of reform and development. How to develop our tobacco monopoly system? It is a severe issue in the face of China's tobacco industry. This article is based on this premise, analyses defects and improve countermeasures and development direction of China's tobacco monopoly system.In this paper, based on current domestic and international tobacco monopoly system theory, we analyzed the tobacco monopoly system in some representative countries and regions of the world and its development, advantages and disadvantages, and its implications for China. Then discussed the history of the development of tobacco management system and the characteristics and content of the tobacco monopoly system, conducted in-depth analysis of the current tobacco monopoly system defects, and made recommendations on the current direction of reform of the tobacco monopoly system in the end of the article. Through the analysis, the paper argues that, China's tobacco monopoly reform goal is not simply "de-monopoly", but to improve the current tobacco monopoly system. By the mode of government and enterprises separation, industrial and commercial separation, increase the role of market elements in the reform of the tobacco monopoly system, and achieve "bigger and stronger" in China's tobacco industry, so as to enhance its international competitiveness and achieve the goal of "going out", to make China become a truly "tobacco country", and to further promote the national economy develop healthily and orderly. On this basis, we propose the final development model of China's tobacco monopoly is diversified development under government control, economic monopoly instead of administrative monopoly.In writing, compared with original literature which mainly referred to the disadvantages of the monopoly system and the development and changes history of the monopoly system, the main innovation of this paper is that, we have introduced the theory of institutional change, and briefly discussed institutional Change and Economic Performance. This paper further analyzes the plight and realistic choice of China's tobacco monopoly system, sufficient reference to the role of market elements in the tobacco monopoly system reform at the same time, and use methods such as "government-enterprise separation","Business separation", the tax system adjustment, to promote the changes in the environment inside and outside the tobacco industry management system, and promote China's tobacco industry to grow and develop through "ameliorating" the former tobacco monopoly system.