Effective since 1994, the first national corporation law of the People's Republic of China ("PRC" or "China") pursues a distinctive mission: to meld the organizational structure of Western capitalist business into a political and economic regime that maintains socialist principles and goals. The Eighth National People's Congress adopted the Corporation Law ("Law") in 1993, plainly modeling it on American and other Western corporation codes. The Law, however, should not be expected to produce business entities comparable to American corporations in the near future.
Robert C. Art & Minkang Gu,
China Incorporated: The First Corporation Law of the People's Republic of China,
Yale J. Int'l L.
Available at: http://digitalcommons.law.yale.edu/yjil/vol20/iss2/4