TJQH’s Mixed Ownership Reform Study

As an important pillar of the national economy, the reform and development of the state-owned enterprises is a top priority of Chinese economic system reform. After more than 30 years of reform, the state-owned enterprises keep steady development and growth. Although we have solved the bottleneck problem of restricting the development of enterprises, and improved enterprise’s managerial level and competitive capacity, there are still many underlying problems unresolved, the property rights are the most critical problem. Decision of the Central Committee of the Communist Party of China on Some Major Issues Concerning Comprehensively Deepening the Reform, which adopted at the third plenary session of the 18th central committee of the communist of china, point out:" a mixed Ownership with cross holding by and mutual fusion between state-owned capital, collective capital and non-public capital is an important way to materialize the basic economic system of china". This give us a clear path for deepening the reform of the state-owned enterprises.This paper demonstrates promote a mixed Ownership reform in the stat-owned enterprises is one of the important paths to deepen the reform and improve the basic economic system by researching and analysing theoretical literature about the property rights and the reform history of the state-owned enterprises. Through the study of TJQH’s mixed Ownership reform, this paper analyzes the necessity and difficulties to develop a mixed Ownership in TJQH, and summarize experience about the participation of private capital, the asset pricing, the design of controlling interest and governance structure, the staff resettlement,etc, and also give us some thoughts and suggestions about increase control and improve management.This paper believes that developing a mixed Ownership in the state-owned enterprises must base on functions and positions and market competition to decide mixed or not mixed and shareholding structure. However, developing a mixed Ownership in the state-owned enterprises should guard against rash action, because a mixed Ownership is just one of the ways to deepen the reform in the state-owned enterprises. To deepen the reform, we must take systematic steps and different classification, and through continuous practices to make solid progress.