Xinhua News Agency

Managers told to search for new strategies

PUBLISHED : Wednesday, 17 September, 1997, 12:00am
UPDATED : Thursday, 11 June, 2015, 4:10pm

Delegates attending the congress have urged the managers of state-owned enterprises to adopt new measures for their companies' survival.

Representatives from several industrial circles said that in order for state-owned companies to survive proposed reforms, their management teams would have to change their business outlook and adopt new ways of dealing with market competition, Xinhua said yesterday.

The delegates claimed the congress had accepted the principle that the publicly owned sector not only comprised state and collectively owned companies, but mixed ownership ones as well.

Furthermore, the congress had accepted shareholding as a way of funding modern enterprises.

A delegate from Jiangsu province said proposals to speed up the reform of state-owned enterprises would trigger a huge reorganisation of assets and intensify efforts to deal with bankruptcies and mergers.

Allowing state-owned enterprises to go bankrupt might have a negative impact, but allowing unprofitable companies to survive would only exacerbate the sector's problems, the delegate said.