The Impact Of Corporation Contractual Theory

As an important branch of the company law and economics, company contract theory is playing a more essential role in our thinking method about how to construct the Corporation Act which provides diversification and the promising perspectives insights. This theory becomes a meaningful part of this important period for China’s economic development especially at the moment and the company is definitely one of the most important markets subjects,the question is how to improve the company and economic development so that it could create a real "positive interaction" between itself and economy,its meaning is self-proved.In terms of March 1,2014 implementation of the "company law", which has significantly accelerated the reform of company law, to a large extent it is not only simplifying the business registration process and reducing the requirements for entrepreneurship that means less market refrains,but also reflects the newest trend and a better balance between free market and official supervision, it also highlights the importance of freedom of contract which the Act should have brought about.Even though if we look at the bigger picture in economic situation,there are still a large number of fuzzy concept which lacks of legal basis and pose some negative effect on the market, apart from the impact of the economic system, policy considerations and other factors that are not purely of law, can still find some unreasonable principles resulted from the planned economy era,some of the traditional ideas until now still hamper the Companies Act and the company’s progress.Therefore I intend to advocate liberal contract theory to figure out some problems about company depending on a number of cases and the contract theory and some of the provisions of the current analysis. According to the vision based on company provides contract theory, since the company relies liberal market economy, in essence, it encourages companies to take "adventure" and this is consistent with the nature of the property company, thus pushing the regulatory model should be performed by the company in business activities.convertingstrict supervision to some"tender"and"loose" models.