The difference between state-owned holding and state-owned enterprises

1. Different definitions: A state-owned holding enterprise refers to a state-owned enterprise that controls the operation of the enterprise by holding the decisive voting rights of its shares, and is mainly engaged in other production operations and capital operations. In contrast, state-owned enterprises mean that the state has control or ownership of its capital. State-owned enterprises are the backbone of Socialism with Chinese characteristics and the backbone of national economic development.

2. Different types: State-owned enterprises include state-owned holding companies. State-owned holding companies can be divided into four situations: state-owned holding companies, state-invested companies, large state-owned groups and holding companies. A state-owned holding company is a state-controlled joint stock limited company, a wholly state-owned company or a limited liability company established by the government. In addition to organizing production and operation according to market demand, it should also organize production and operation according to social welfare undertakings and national industrial policies.

3. Different relationships: State-owned holding companies are a form of state-owned enterprises. State-owned holding companies are funded by the government and regulated by the Company Law. As a legal person, state-owned enterprises also have their own particularity compared with ordinary corporate legal persons. State-owned enterprises only enjoy the right to operate and manage property, but have no ownership.

4. Different holding: A state-controlled listed company means that the government or state-owned enterprises hold more than 50% of the shares. Although the shareholding ratio is less than 50%, it still has the actual control right, which can determine the operation and assets of the enterprise and enjoy the right to capital gains. State-owned absolute holding enterprises refer to enterprises with more than 50% (including 50%) of state-owned capital, including state-owned enterprises that have not been restructured. State-owned relative holding enterprises refer to enterprises whose national capital ratio is less than 50%, but which account for a relatively high proportion relative to other economic components in the enterprise.

5. Different sources of development: State-owned holding enterprises are new enterprises that adapt to the development of China's socialist market economy, and the development sources of state-owned enterprises also include enterprises that local governments participate in investment and control. The will and interests of the government determine the behavior of state-owned enterprises. In recent years, with the development of mixed ownership economy, many state-owned enterprises have also become state-owned holding enterprises.

What is the nature of state-owned companies?

The state-owned company is a limited liability company, which means that its liability is limited to its capital contribution and will not affect the personal property of the investor. As a limited liability company, a state-owned company has an independent legal person status and enjoys the rights and obligations of independently bearing civil liabilities.

A state-owned company refers to a limited liability company that is funded by the state alone and by the state-owned assets supervision and administration institution at the same level of the State Council or the local people's government, and performs the responsibilities of the investor. As the representative of state-owned capital, state-owned companies play an important role in economic activities.

The purpose of establishing state-owned companies is to better manage and operate state-owned assets and improve the efficiency and benefit of state-owned capital. Through the investment and management of state-owned assets, state-owned companies can maximize national interests and promote the development of national economy. At the same time, state-owned companies also bear the important responsibility of safeguarding national property security and promoting national economic reform.