Abstract
In recent years, despite calls for higher ethics in corporate management in China, various incidents that cause serious damage to health continue to occur. Several factors contribute to such incidents in complex ways. In this paper, we assumed that the occurrence of such incidents was due in part to Chinese corporate governance, and investigated the underlying problems. China's corporate governance is in compliance with international legal systems and appears to have no problems. However, the results of comparative studies with corporate governance in the United States, Germany and Japan, various case studies, and interview surveys, have identified the harmful effects caused by the political party-corporation relationship. The improvement or elimination of this relationship is a future challenge to achieve better corporate governance, which calls for drastic measures, including cutting off the relationships between the party and corporations, while respecting China's distinctive state framework.
