Effect Of State-owned Enterprises Respondible For Political Pormotion And Fall Of Business Analysis

State-owned enterprises have gradually formed distinctive institutional background characteristics of corporate governance mode in our country in the process of economic transformation: executives of state-owned enterprises political promotion is more and more obvious.How is this kind of promotion to be elected? What is the relationship with the performance of state-owned enterprises? This paper studies the AI Baojun's political career who was responsible for Bao-Steel in 2007 and who was in prison in 2015.We use comprehensive financial index evaluation method to analyze the AI Baojun politics before the promotion and enterprise financial performance after promotion.In addition,we also analyze the relations between the social responsibility,environmental management and related parties.Through the event analysis,we elaborate the Bao-Steel executives.The political and financial results of the company are not related to the person in charge.The company's social responsibility,environmental governance and related party occupied and other aspects of outstanding performance are the main reasons for his political promotion.Subsequently,this paper analyzes the reasons of increasing of Baosteel's financial performance after the political promotion of AI Baojun.It is found that the rising financial performance of Baosteel is due to the government subsidies,relaxed financing environment,etc.Finally,the share price evaluation method is proposed to analyze the company's stock value changes in two time nodes of AI Baojun's political promotion before and after a month time window.In addition,we also sum up the possible causes of state-owned enterprise political advancement and promotion of state-owned enterprises in the capital market reaction to perfect state-owned enterprises incentive mechanism to provide a theoretical reference.