Public welfare/public service enterprises provide public products and services to ensure the operation of the city, including state-owned enterprises such as urban water supply and gas supply, public transportation and municipal construction. Competitive state-owned enterprises are market-oriented and pursue profit maximization. Ningxia classifies competitive state-owned enterprises as profit-making state-owned enterprises in the classification of state-owned enterprises. Guangdong and Sichuan provinces adopt dichotomy. Guangdong divides state-owned enterprises into quasi-public enterprises and competitive enterprises. Sichuan "State-owned enterprises are divided into functional and competitive types in principle."
Some provinces and cities are also divided into functional enterprises: functional enterprises include government investment and financing platforms or state-owned investment and operation companies, as well as enterprises in the fields of important resource development and major infrastructure construction, which undertake special tasks and major projects entrusted by the government at different stages, such as investment centers for affordable housing construction.
Reference: Netease Finance/15/0915/00/b3gvs4p100253b0h.html.