Comparison Of Inner Governance Structure Between Company And Co-operative

Corporate governance is a word-wide problem, and is also the key problem to deepen China's corporate reform nowadays. The paper thus focuses on the comparison of governance structure between company and co-operative. Starting with reviewing and comparing Marx economics and western economics theories on it, it compares and analyzes their property rights relation, and their inner governance mechanisms such as motivation, control and decision. It proposes that there are both advantages and shortcomings lying in each other and mutual compensating between them is possible. Actually, since 1970s a tendency of mutual integration between them has been going on, with co-operatives absorbing advantages of company's governance structure, vice versa. Based on social, economic and cultural features of China, it proposes that both advantages of them should be fully considered in the reform of state owned or collectively owned enterprises in order to construct eclectic corporate governance models. Suggestions in this consideration are proposed.