State-Owned Enterprise Reform in China

State-Owned Enterprise (SOE) reform in China involves restructuring and improving government-run companies to enhance efficiency, competitiveness, and profitability. Historically, SOEs played a central role in the economy but often faced issues like lack of innovation and inefficiency. Reforms include introducing market-oriented practices, reducing government control, encouraging private investment, and modernizing governance. The goal is to make SOEs more dynamic and capable of contributing to sustainable economic growth while maintaining necessary public service functions. This process reflects China's broader shift toward a more mixed economy that balances state control with market mechanisms.