Introduction
Introduction
This chapter introduces the domestic and international backgrounds of the reform experienced by China's corporate governance. China may be viewed as an economy undergoing transition in terms of shifting from central planning towards a market economy faced with the world economy's rapid integration. As financial liberalization commitments have drawn attention to financial and enterprise sectors, China's accession to the World Trade Organization (WTO) has many different implications for its corporate governance reform. This chapter suggests that a dynamic theory of corporate governance may be used in understanding the experience of the country. Lastly, the chapter indicates that the main subjects of the book include China's small and medium state-owned enterprises (SOEs), large SOEs, village enterprises (TVEs), listed companies, private enterprises, and state-owned commercial banks.
Keywords: reform, corporate governance, state-owned enterprises, WTO, dynamic theory
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