What does state-owned enterprise mean?

State-owned enterprises refer to enterprises invested or controlled by the government of a country. In China, the meaning of state-owned enterprises is broader, including enterprises invested and controlled by local governments. China's state-owned enterprises are an important part of the state-owned economy, and their means of production are owned by the whole society and are the leading forces in the national economy.

China's state-owned enterprises are an important part of the state-owned economy, and their means of production are owned by the whole society and are the leading forces in the national economy. The will and interests of the government determine the behavior of state-owned enterprises. As a form of production and operation organization, state-owned enterprises have the characteristics of both profit-making legal persons and public welfare legal persons. Its profitability is reflected in the pursuit of maintaining and increasing the value of state-owned assets.

Its public welfare is reflected in the fact that the establishment of state-owned enterprises is usually to achieve the goal of national economic regulation and play a role in coordinating the development of all aspects of the national economy. State-owned enterprises are an important part and realization form of public ownership economy. Consolidating the public ownership economy is mainly to strengthen the control of the state-owned economy over important industries and key areas of the country; The development of public ownership economy is mainly to play the leading role of state-owned economy.

Since the reform and opening-up, state-owned enterprises have carried out such reforms as changing the mechanism, grasping the big and letting the small, restructuring and restructuring, separating the main from the auxiliary, merging and reorganizing, policy bankruptcy, separating government from enterprises, separating government from capital, and establishing a modern enterprise system, all of which are concrete practices to uphold and improve the basic economic system.

Classification of state-owned enterprises

1. According to the classification standard of jurisdiction, state-owned enterprises can be divided into central enterprises and local state-owned enterprises.

Among them, state-owned enterprises are enterprises established by the state as the main body of investment, and they are truly owned by the whole people, generally with large scale and high efficiency. The means of production of local state-owned enterprises are owned by local people, such as provincial state-owned enterprises and municipal state-owned enterprises.

2. According to business types, state-owned enterprises can be divided into monopoly state-owned enterprises and competitive state-owned enterprises.

In this classification, monopolistic state-owned enterprises refer to enterprises with monopolistic business scope authorized by the state. Such enterprises generally involve the economic lifeline of a country, such as transportation, petroleum, communications, military industry and other large and important industries. Competitive state-owned enterprises are opposite to monopolistic state-owned enterprises, and their business scope is not monopolized by the state. Such state-owned enterprises are more dynamic in economic activities.