The Research On Profit Linking Systems Between Leading Enterprises And Farmers

The major problem of Chinese society, proved by Chinese social development andreform practice, is that of agriculture, farmers and rural economy. Agricultural productionsystem in the countryside also began from socialist economic reform of our country.Household contract management of agricultural production system in our country onceliberated rural productivity immensely and brought a tremendous historic change to thecountryside. However, the drawbacks of this bi-layer management system exposedgradually accompanying new contradictories between rural production relations andproductivity within the development of our social productivity as well as the deepeningof rural economic system reform. There are two extraordinarily predominantcontradictories which behaves as the one between farmer’s small-scale, dispersedproduction and outer big market, and the one between farmer’s small-scale managementsystem and agricultural modernization, respectively. Therefore, a new agriculturalproduction management method are forced to put on agenda through which dispersedsmall farmers could be reconstructed in order to realize the scaled production, finallyserving to resolve the contradictory between small-scale production and big market thatour agricultural industry has been faced up to. Agricultural industrial management isunavoidable to realize the transformation from traditional agriculture to modernagriculture.Benefit distribution is a key point to industrial management in agriculture. Arelatively steady and reasonable profit linking system must be established between theleading enterprises and farmers in order to promote the agricultural industrialmanagement. Various systems satisfying the needs above have appeared in the practicesof our agricultural industrial management, combined from the level of both managementand property rights, dispersed and relatively denied.There are many studies on the profit linking systems as mentioned above,macroscopically and individually. Besides subjective researches to certain specificproblems are also referred to. However, study on theoretical analysis and systematicaldecomposition about this main problem is far beyond satisfaction.In this paper, different theories on formation of this linking system have beencombed systematically. It is aimed at building an steady and reasonable profit linkingsystem which is suitable for the development situation of agricultural industrialization in our country by attempting to analysis theoretically as well as integrating the reality ofagricultural industrial management in China. Various disadvantages existed in thepractice of our current system during the research have been discussed deeply afterwhich a new organizing mode has been proposed as an creative path. This mode, in detail,is the one containing farmers, farmers cooperative economic organization and leadingenterprises which is also thought to be the base of the new linking system. Finally aspecific reform program has been meditated to the current organizing mode which is onlycontaining leading enterprises and farmers, as well as the unnatural profit linking systemsat the first time.