Enterprise Reconstruction in Economic Transition:On the Incentive System Change of State-owned Enterprises

By analyzing the external problems which might be happened in business transactions,and taking enterprise contract theory into consideration,an incentive system applicable to analyze different enterprise system environment is constructed-—a structure with the mutual interaction of market,property right,salary and promotion.Under the structure,enterprise reconstruction in economic transition is presented as the following:First,try to provide accurate measurement information to the ability and the diligence of employees by establishing an external market,and make it the basis to guarantee property right incentive,salary incentive and promotion efficiency.Second,try to improve the ability of the enterprise owners to search and use the above mentioned information through property right reform.The two points complement each other,and both are indispensable.