The Comparative Research On Evolution Of System Of Governance Of Listed Companies In China And The United States

The establishment and completion of the corporate governance system of Chinese Listed Companies are influenced dramatically by the corporate governance system of listed companies of U.S. But in the process of introducing the American corporate governance system, the Chinese listed companies'corporate governance system suffered the misfits. The purpose of this paper aims at exploring the evolution of corporate governance system of Chinese and American listed companies, through the analysis on the background of the evolution process of the corporate governance system of Chinese and American listed companies, explains that Chinese and American systems are in different evolution paths, and impacted by their own interests patterns and system backgrounds, thus show different characteristics. The paper points out that the completion of Chinese listed companies corporate governance system should draw lessons from American listed companies corporate governance system and instead of purely copying from American system, China should base on its own interests pattern and system background, differentiate the different situations, adopt different strategies to establish a kind of harmonious corporate governance system of listed companies.This paper has three parts. The first part reviews the evolution process of the corporate governance system of listed companies in the United States and China, which focuses on describing interest pattern and background behind the evolution of governance system of listed companies, exploring the reasons behind the evolution of the system. The second part conducts the comparative study on the evolution of the governance system of listed companies in China and the United States through the dimensions of basic system, the dynamic mechanism of the evolution of the system and the cultural ties. Finally, countering the different listed companies of our country, the paper proposes the policy suggestions on the completion of the governance system.The conceptual framework of this paper is mainly affected by the more popular system evolution theory and comparative system analysis research methods, and attempts to introduce these methods into the comparative analysis of corporate governance systems of listed companies of China and U.S. Through the analysis, the paper draws the following conclusions:I. The evolution paths of corporate governance system of listed companies of China and U.S. are different.The governance system of listed companies in the United States has experienced a long period of evolution. The intervention of the federal government to the governance system experienced a process from weak to strong. While the emergence and development of China's listed companies are shorter, and the establishment and improvement of the governance system of listed companies are mainly through the administrative promote and transplanting of the system. Because the Chinese pattern and American pattern embedded in the different historical periods, although Chinese governance system learn from American system a lot, if look these two patterns as two systems, these two systems still have great differences.II. There exist the conflict between introduced system and local system in the Chinese corporate governance of listed companies.In China's corporate governance system, there are many systems transplanted from foreign countries, especially transplanted from U.S. While only the formal system can be transplanted, the informal system is very difficult to be transplanted, e.g. American ideology, way of thinking, and conflict resolution methods etc. The formal systems transplanted from U.S. always need the informal systems to be the foundation to perform well. While when transplanted the formal systems from U.S., there might lack the informal systems which match the formal systems, thus lead to the mismatch between the transplanted formal systems and the local informal systems.III. The difference of innovation patterns between Chinese and American corporate governance systemsIn the evolution process of corporate governance systems, Chinese and American system innovation patterns are different a lot. The American corporate governance system innovation is related with American political system. In U.S., different interest groups have relatively substantial interests expression channels, and by some certain procedures, attempt to influence the legal constitution, thus to change the unreasonable systems. The ideological theory which represents the different interests group emerged from this, and the shareholders-centrism and interested parties theory are the representatives of the ideological theory. While the emergence of American corporate governance system is never formulated basing on these theories, but the products of game of different interests groups. Sometimes, some accidental factors often play a key role in the formulation of a system.The innovation of governance system of listed Companies in China depends mainly on the promotion of the administrative departments, while the administrative departments are often dominated by certain ideology. The influence of ideology on the evolution of our country's corporate governance system is dramatically, e.g. the arguments on the nature of shareholding system, the formation of shareholding system, and listed companies to be a tool to realize the state-owned system etc. The innovation of Chinese corporate governance system usually need the change of the ideology of the governmental decision making departments as the forerunner, then the technical dimension systems are easily arranged.The evolution of Chinese corporate governance system witnessed the evolution of the liberalization of thinking in the Chinese revolution process, and the Chinese listed company itself is the product of the liberalization of thinking. But with the Chinese economic idea identify with the western economic idea, we found that western economic idea is not a monolithic; it is also full of arguments. In the field of corporate governance system of listed companies, whether the shareholder-centralism or the interests party– centralism becomes the new confusion of in the completion course of corporate governance system of Chinese listed companies. Actually behind the theories is the competition among the interests groups. The system is not purely formulated basing on the theory, but the compromise of different theories, precisely the compromise of different interests groups.Our country should learn from the American innovation methods, change the situation that the supply of systems excessively depends on the administrative predomination. It should like this, that different interests groups have channels to express their own interests, through certain procedures and compromise of all the parties to formulate systems. This kind of systems often has effective implementation mechanism.