Legal analysis: The difference between corporate governance and corporate management depends on the enterprise theory model that defines the relationship between shareholders and managers in economics: shareholders own the enterprise but do not participate in the operation and management, and shareholders supervise the behavior of operators by electing the board of directors as their agent in enterprise decision-making.
Legal basis: Article 11 of the Company Law of People's Republic of China (PRC). To establish a company, the articles of association must be formulated according to law. The Articles of Association are binding on the Company, shareholders, directors, supervisors and senior management.