Research On Corporate Governance Of The State-owned Aviation Enterprise

As the main force of China’s air transport, the state-owned aviation enterprises have made great contributions to the efficiency of economic operation of the whole country and the improvement of people’s quality of life. Since the 1978, the state-owned aviation enterprises have undergoing on the constantly reform,which successfully breaks the original highly centralized management system and makes the joint stock system become the main organization form of state-owned aviation enterprises. In a word, their corporate governance has made significant progress. However, since China’s accession to the WTO, foreign aviation enterprises are gradually entering the Chinese market, which bring a big challenge for the original domestic air transport enterprises. When compete with foreign aviation enterprise, the corporate governance of state-owned air transport enterprise group still exist many problems, which have increasingly become the obstacle of their development. So it is necessary to study and improve its corporate governance issues.This paper first introduces the research backgrounds and research significance, research status at home and abroad, research contents, technical routes and research methods in detail. It then systematically discusses the basic theories of corporate governance. It chooses NH airline as a example. by introducing its basic situations and the financial performance, it demonstrates the necessary to analyze NH airline enterprise’s corporate governance systematically. Then it analyze NH aviation enterprise’s corporate governance status from four angles, which are the shareholder governance structure, the board of directors governance structure, the board of supervisors governance structure and the managers governance structure. On these basis, it analyze the problems which exist in NH aviation enterprise’s corporate governance, which include the dominant equity ownership structure, the unreasonable design of the board of directors, the imperfect supervision mechanism and the lack of professional manager system.Next, it gives the suggestions to improve corporate governance which are corresponding to the above problems. These suggestions include establishing a balanced shareholding structure, optimizing the structure of the board of directors and improving the function of the board of directors, perfecting the supervision mechanism of NH airline aviation, improving the system of professional managers.