State-owned enterprises belong to public ownership. State-owned enterprises refer to wholly state-owned enterprises, wholly state-owned companies and state-owned capital holding companies that the State Council and local people's governments perform the responsibilities of investors on behalf of the state respectively. As an organizational form of production and operation, state-owned enterprises have both commercial and public welfare characteristics. Their commerciality is reflected in the pursuit of maintaining and increasing the value of state-owned assets, and 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.
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