The Research Of Central Enterprise Group Company Corporate Governance Structure And Governance Mechanism

In the current economic globalization background, the national level of competition, more and more embodied in the competition between enterprises, state-owned enterprises in china has always been the important pillar of the national economy, is an important strength for Chinese economy society, be one’s unshirkable responsibility to shoulder the important responsibility to enhance national competitiveness. SASAC started to reform of the Board of Directors in the central government owned enterprises(CGOE) in2006, which means the prelude to the establishment of modern corporate governance structure in CGOE.35out of the existing117central government owned enterprises have reformed the Board of Directors. The reform of the Board of Directors is the role part of the corporate governance reform in CGOE and has achieved primary progress. But many fundamental problems have not been solved, and the efficient mechanism of corporate governance for CGOE has not yet been established. In order to establish the system of corporate governance in line with the rule of the market economy, it’s urgent to break through the constraints of administration and improve the efficiency of corporate governance.Because of the difference in property, the corporate governance of CGOE is different from the others. Scholar has made a number of studies on corporate governance of CGOE. However, existing research is not good enough for two reasons: First, existing research apply the theory of corporate governance in the West, which may not suit to CGOE; Second, research is focused on a single level, and insufficient in systematic and integrity. Existing research has not been able to find out the optimal mechanism of corporate governance in China’s state-owned enterprises.The establishment of the governance structure is the basic guarantee of corporate governance, the efficiency of corporate governance also relies on the governance mechanism. The majority of high-quality assets of the central enterprises has been invested into equity diversified corporate enterprises, such as the listed companies. The listed company and its subsidiaries have become the main body of the operation for state-owned assets. This paper focus on how to perfect corporate governance system on the three levels of CGOE. This paper uses China Shen Hua Group as a case study, discuss the issue of improving corporate governance efficiency. Based on the introduction of the internal environment, Case study of this paper analyses the three-level mechanism of corporate governance from the dimensions of the governance structure and governance mechanisms. Then evaluate the efficiency of corporate governance system for ShenHua Group and give advice on universal defects of corporate governance for CGOE.By analyzing the focus and difficulty of the CGOE reform and the experiences of corporate governance in Shen Hua Group, This paper shows the latest progress of CGOE reform, providing a reference for further reform of corporate governance; and reveals essential factors prevent the corporate governance from operating efficiently to indicate the reform direction of corporate governance for CGOE.