Abstract

Since the reform and opening, private enterprises of China have got a rapid development, and have done a great contribution to the continual development of national economy. However, with the change of external and internal situations, private enterprise management appears to be defective, sometimes it even does harm to the development of the enterprises. This reports aims to present of the problem of private enterprises in China. In order to solve this problem, Chinese private enterprises should accelerate the management innovation. We analyzed the necessities of enterprises’ management innovation, the motivation of management innovation, obstacles to management innovation. Finally, it puts forward the countermeasures to solve the problems.

Highlights

  • After more than three decades of rapid development, we see the emergence of a very strong private sector in China

  • With the change of external and internal situations, private enterprise management appears to be defective, sometimes it even does harm to the development of the enterprises. This reports aims to present of the problem of private enterprises in China

  • We intend to discuss the necessities of implement management innovation, the motivation of management innovation, the obstacles to management innovation, and gave some suggestions on how to promote the management innovation

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Summary

Introduction

After more than three decades of rapid development, we see the emergence of a very strong private sector in China. The report shows that while the private enterprises of China continue to make contributions to the GDP and create jobs, their wealth is increasing rapidly. Private Chinese enterprises exported goods worth $481.3 billion in 2010, a jump of 223 percent compared with 2005, said a report by the All-China Federation of Industry & Commerce (ACFIC).The number of private enterprises in China exceeds 8.4 million after a yearly increase of 14.3 percent on average over the past five years. They account for more than 74 percent of China's total enterprises. We intend to discuss the necessities of implement management innovation, the motivation of management innovation, the obstacles to management innovation, and gave some suggestions on how to promote the management innovation

Relevant Literature Review
China Has Grown Because of Private Enterprises
The Necessities of Chinese Enterprises’ Management Innovation
Expand the Operate and Assets Scale
Enter into Capital-Intensive and Technology Intensive Industries
Make Best Use of Human Resources
Develop
Innovative Power of Private Enterprises’ Management
Psychological Power
Enterprises Themselves
The Low Quality of Manager
Inefficient Management Model
Management Belief
The Unfair Hiring System
Ignore Talent
Little Training for the Employees
The Lack of Effective Incentive Mechanisms
Pay Attention to Management Innovation
Improve the Quality of the Entrepreneur
Improve the Property Rights System
Change the Management Model
Form an Environment of Management Innovation Culture
Try to Make the Enterprises and Social Live in Harmony
Improve the Human Resource Management System
Findings
Conclusion
Full Text
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