Marshall Meyer, Tsai Wan-Tsai Professor Emeritus, Emeritus Professor of Management and Sociology, Wharton, University of Pennsylvania
Egan 206, Egan Research Center
China is moving forward with plans for a mixed ownership economy where private investors will take substantial stakes in state-owned enterprises. However, China’s experience with mixed ownership suggests limited benefits of mixed ownership unless the state cedes control, as distinct from ownership, of enterprises to private interests. Implications for corporate governance and possible changes to the Chinese Company Law will be discussed.