Abstract
Purpose – This paper aims to review the state-owned enterprise (SOE) reform in China and analyzes the role of the Chinese Government in the progress of the SOE reform. It provides suggestions to better guide the direction of further reforms of the SOEs in China. Design/methodology/approach – This paper reviews the historical path of the SOE reform in China and analyzes the underline policy implication associated with the reform. Findings – The success of the function-oriented SOE reform depends on the transformation of governmental functions. Only with the linkage of governmental functions reform can we change the existing pattern of economic development, build a solid foundation for the socialist market economy and achieve the final triumph. Originality/value – This paper provides suggestions to better guide the direction of further reforms of the SOEs in China.
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