| Since reform and opening policy is carried out, private-owned enterprise of china has developed rapidly and its speed is prior to state-owned enterprise. At present ,it has played an important part in the economic development and has become active enterprise group. However ,not all private-owned enterprises can stand up to the test of market economy. After a period of prosperity some begin to decline. Others are even broken. There are a great many of factors influencing its development .such as, the outer environment and mistaken decision. However ,these factors are not the most important ones. After going through a hard pioneer, many owners come to realize the unnegligible role of human and whether private-owned enterprise can develop continuously depends on how to build a reasonable employ's mechanism of privately-owned enterprises. It is closely linked with whether own enterprises can development and striving. The article discusses the meaning of own enterprises, Analysis the environment which private-owned enterprises live in and the advantages and disadvantages , expounds the necessary and principle to build suitable employ's mechanism, and from seeks practice how to build a reasonable employ's mechanism of private-owned enterprise from choosing,employing and possessing human.
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