ABSTRACT

This book concerns the role of corporate governance in the reform of China’s City Commercial Banks and especially the role of foreign investors in these reforms. It starts off with an examination of the various models of corporate governance and contextualizes them within the Chinese perspective. Chapter 2 examines the various models of corporate governance. In liberal democracies, there are basically two models of corporate governance: the ‘Shareholder Value’ model as practised in the United States and UK and the ‘Stakeholder’ model as practised in France, Germany and Japan. The features of each model are examined for their applicability to China. The model chosen for China is the ‘Share-holder Value’ model. Why was it considered inappropriate? Which model is more suit able for China if we analyse and consider issues from a historical point of view?